Concessão de incentivos fiscais pela União e os reflexos nos valores repassados ao fundo de participação dos municípios

Abstract

The granting of tax incentives by the federal government, have generated controversy This is because a portion of the proceeds from the collection of certain taxes, pursuant to the art 159 of the Federal Constitution, is intended for Participation Fund of Municipalities. The Union has the competence to legislate and also to grant exemption from excise tax and income tax as stated in the Federal Constitution (art. 153). However, the power of the state to reduce taxes is broad, but not unlimited, being subject to the regulatory guidelines and values contained in the Constitution, which give the outlines of the tax rules. Considering the RE 705.423 pending in the Supreme Court, it must ensure that there are limits to the Union exempt taxes within their juris diction. Likewise, what are the constitutional guarantees to the municipality require performance by the Union regarding the transfer of the Municipality Participation Fund