BC President says, IF should not be used to increase | The economy
Defined The Tax of Control and Economic Activities (IOF) by the Constitution Should not be used to increase the collection or replace interest increase, said Monday (2) Central Bank (BC) President Gabriel Gallipo.
At an event held in Sao Paulo, he expressed fear International investors understand the recent tax height as capital control.
“I have always had this view that I should not use IOF for collections, or no support for monetary policy. This is a control tax, which is well defined,” said Gallipo during the debate.
The BC President said that it is ideal for the entrepreneur to not affect the choice of money to take the money.
“You do not need to have a choice of line or specific product because of tax arbitration,” he said.
Considering the strengthening of government revenue by the end of the year, the increase in two points on the next day is equivalent to an increase of 0.5 percent points in selic rate by establishing credit for IOF, analysts and companies.
Speaking of the influence of measurement on the economy, Galipo said that BC is careful in adding the growth of IOF into expectations, as the government and Congress are building alternative proposals. According to him, monetary authority only analyzes the effects on inflation and gross domestic product (GDP, the amount of goods and services that is produced) only after the final formation of the proposal.
“We use more parcels, wait to understand how and how much the final design is in our expectations,” the BC president concluded.
