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Shortly after the Chamber of Deputies approved the basic text of the Budget Guidelines Law (LDO) for 2021, the proposal was approved in the Senate and now passes to presidential sanction. The LDO defines the government’s goals and priorities for the following year, guides the drafting of the annual budget law, and establishes limits for the budgets of the Legislative, Judicial and Public Ministry branches.
The proposal includes the correction of the minimum wage to R $ 1,088 starting in January. Currently, the minimum wage is R $ 1,045. Only the correction was made based on the accumulated inflation forecast for the year, according to the National Consumer Price Index (INPC). Therefore, there was no real increase. The rule that provided for a real increase, the increase above inflation, was discontinued last year.
The text approved on Wednesday (16) establishes a primary deficit of R $ 247.1 billion as a fiscal goal for next year. Yesterday (15), the federal government modified the text, sent to Congress in April, to expand the deficit target, initially set at R $ 149.61 billion. The new goal indicates a deficit of R $ 247.1 billion for the Central Government (National Treasury, Social Security and Central Bank) for 2021, without considering the interests of the public debt.
The rapporteur, Senator Irajá (PSD-TO), highlighted the Casa Verde Amarela popular housing program as a priority. Irajá included the extension of the payroll tax exemption in 2021.
The senator also included in the text a provision to speed up the execution of the parliamentary amendments imposed on the Union Budget. The text reduces from 90 to 45 days the term for the Executive to publish the procedures and the schedule for the execution of individual amendments.
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