Acebra ensures tax equality between cooperatives, cereal producers and the input sector

The Brazilian Association of Cereal Companies of Brazil (Acebra) guaranteed tax equality and competitive conditions in the discussions that led to the approval of Complementary Bill No. 68/2024. The constructed text corrects distortions contained in the substitute presented by the Working Group, providing competitive balance between cooperatives, cereal producers and input resellers.

The suggestions were incorporated into the first text of the Tax Reform regulations, approved on Wednesday (9), in the Plenary of the Chamber of Deputies. The text establishes rules and guides for the collection of the three consumption taxes (IBS, CBS and Selective Tax) created by the reformulation of the tax system, approved and promulgated by Congress in 2023.

The reason for the controversy was an item that allowed cooperatives to make sales to rural producers without the incidence of IBS and CBS, while other market agents, such as cereal producers and input distributors, continued to be subject to taxation. This change created market asymmetry, favoring cooperatives and harming free competition.

The president of Acebra, Jerome Goergen (in the photo), also highlighted the participation of the Organization of Brazilian Cooperatives (OCB) in building understanding. “We are important actors in agricultural production and our work complements each other. There is no reason for us to be on opposite sides. The agreement will guarantee tax equality, competitiveness and free competition. A victory for all the men and women in the field”, he explained.

Goergen clarifies that, since the first version of the substitute, the essence of the work carried out by cereal producers was resolved. However, a distortion remained that could result in an additional burden of 11% on the sale of products sold by companies. “As the sale of inputs is an important part of the operations of cereal companies, we work to correct and guarantee tax equality. Our work ended up benefiting other segments, such as input resales, among other economic actors”, he detailed.

The director said that attention now turns to negotiations in the Senate, where the regulations still need to be approved before coming into force. “We will continue to mobilize to confirm the achievements secured in the Chamber”, he concluded.