Flavio Maluf is the current a business executive and President at Eucatex. Initially beginning his career in 1987, and becoming an executive in 1996, Flavio Maluf has over 30 years of experience in financial and business industries. Flavio Maluf details efforts by the government of Brazil to help stimulate growth, and job creation by encouraging more business development programs and incentives.
The federal government has passed several Fiscal Incentive Laws. These incentives laws are designed to add a silver lining to paying taxes to do business in Brazil. Brazil has extremely high taxes, and these high taxes discourage business owners from initiating business development in the country. However, in order for the economic situation to experience serious growth business development must take place to create jobs so people can have money to spend in the country. Under the Fiscal Incentive Laws, the taxes paid by businesses are managed much better. Instead of the taxes being taking directly from the business owners to the government, the funds are managed in a much more strategic manner. Visit barbacenaonline.com to learn more.
Prior to Fiscal Incentive laws, the taxes paid by companies would go directly to the government. These funds would be spent however the government says fit, albeit for salaries, office furniture etc. The Fiscal Laws requires the taxes collected are spent in much more economic stimulating manner. For example, now taxes paid are spent to fund socially popular programs, for education or infrastructure. This more strategic spending allows has two added benefits that are in the best interest of the company and the country. On one hand, the funding is used to create jobs and other opportunities for the citizens of the country. On the other hand, these businesses can now associate themselves with programs and list themselves as sponsors of these programs and initiatives. In many cases, this offers free advertisement or marketing for these businesses.
In addition to the federal laws, the country also has local incentives to encourage business growth in local regions also. There is the Manus Free Zone, which encourages business to set up shop in the West Amazon area. The government also offers other taxes reductions and compensations to stimulate growth in specific business sectors throughout the country.