Entrepreneurs trying to open a business in Brazil might find it difficult to establish a business there. Companies in Brazil have to pay a significant amount of taxes to the government, and this can be an insurmountable problem. Flavio Maluf states that some tax incentive could help ease the tax burden and attract more business to Brazil.
A Fiscal Tax Incentive Program would help incentivize entrepreneurs to establish a business in Brazil. The program would allow businesses to use money that would have been used to pay taxes and funnel it into social and cultural projects that could create jobs and help the economy. These projects would greatly benefit the Brazilian society by helping social development and the economy. Follow Flavio Maluf on Twitter.
Entrepreneurs might not consider the Fiscal Tax Incentive Program enough of a tax break to entice them to establish a business in Brazil. Businesses will still have to pay the amount of money they would have paid in taxes, and this might be a detractor for entrepreneurs. However, Flavio Maluf beliefs that once business owners understand the way the program works that it will attract them to the region. Using the money that was previously earmarked for tax payments to sponsor or fund projects will result in publicity and a good image. The money should be seen by some entrepreneurs as an advertising expense that will result in good public relations.
Entrepreneurs should also consider that several regions within Brazil offer regional tax incentives for locating their business within that region. These regional tax incentives are meant to promote development within that region. Brazil’s public administration also gives out tax incentives. These tax incentives are granted to companies that operate in a specific industry. The tax incentives take the form of compensation, exemptions, or tax reductions. The companies most likely to receive these tax incentives are those that are in technology, export companies, aerospace, agriculture, and others. The purpose of giving tax incentives to businesses that work in these sectors is to generate jobs for the people living in this region and to encourage the economy to improve. Incentives and fiscal programs differ from region to region and can be a state or federal incentive. Visit: https://www.terra.com.br/noticias/dino/conheca-com-o-empresario-flavio-maluf-alguns-mitos-e-verdades-a-respeito-de-ser-um-empreendedor,21991ecd7b49587604a2d972ecada3b6lz1vsqwr.html