On March 27, 2025, Brazil's Minister of Finance, Fernando Haddad, officially announced the termination of the Perse (Programa Emergencial de Retomada do Setor de Eventos), a financial relief program initiated during the pandemic to support the events sector. Haddad emphasized that the government would not extend the program beyond its planned conclusion in April, adhering to a commitment that set a ceiling of R$15 billion for tax exemptions related to the initiative.
The Receita Federal, Brazil's Federal Revenue Service, projected that the program would reach this threshold by the end of March 2025. Consequently, companies operating in tourism, events, and food sectors will be required to resume full payment of federal taxes, including the Corporate Income Tax (IRPJ), Social Contribution on Net Profit (CSLL), and the PIS/Cofins taxes starting in April.
During his remarks, Haddad assured that the government is dedicated to maintaining transparency regarding the financial figures associated with the program. He stated that an audit of the data would be conducted based on self-reported information from the companies through the Dirbi (Declaração de Incentivos, Renúncias, Benefícios e Imunidades de Natureza Tributária). This self-declaration process will allow the government to assess the financial impacts accurately.
Companies have until 60 days after the end of March to submit their financial data, meaning the complete financial picture for March should be available by the end of May 2025. Haddad explained, “All projections indicate that the Perse will end with R$15 billion. However, the information provided by the companies only goes up to January, and projections suggest that these values will reach R$16 billion by the end of March. Thus, we have agreed that companies will start collecting taxes again from April.”
In further comments, Haddad noted that if the program were allowed to continue, it could surpass R$18 billion or R$19 billion by the end of the year. He insisted that the program's conclusion is necessary to prevent further financial strain on the government and to uphold fiscal responsibility.
The announcement aligns with the government's broader strategy to manage public finances effectively and fulfill its fiscal balance goals. Haddad reiterated the importance of rigorous oversight in the collection of new taxes, ensuring that the image of the Finance Ministry remains transparent and accountable to the public.
On March 28, Haddad reiterated that the Perse program would officially end in April, confirming that the government would not entertain any extensions of the benefits. He stressed the significance of adhering to the established limits and highlighted the collaborative efforts of various stakeholders, including parliamentarians who have supported the program over its three-year duration.
According to Haddad, the data utilized in the Receita Federal's projections were provided by the businesses themselves and covered up to January 2025. This self-reporting mechanism is part of the government's commitment to transparency and accountability, ensuring that all stakeholders are aware of the financial implications of the program's termination.
Additionally, a public hearing held by the Congresso Nacional on March 12, 2025, confirmed that the program had indeed hit its R$15 billion ceiling, prompting the government's decision to conclude the initiative. The hearing aimed to evaluate the impacts of the Perse program and gather insights from various sectors affected by the pandemic.
The Perse program was initially intended to provide financial relief to businesses struggling during the pandemic, which had severely impacted the events sector since 2021. However, as the economic situation evolves, the government has determined that it is now time for these businesses to resume their tax obligations.
In light of the upcoming changes, many companies in the tourism, events, and food industries are preparing for the transition back to full tax compliance. While some stakeholders may express concerns about the financial burden this places on businesses still recovering from the pandemic's effects, the government maintains that this is a necessary step toward fiscal stability.
As Brazil navigates the post-pandemic landscape, the government's commitment to transparency and accountability will be crucial in ensuring that businesses can adapt to the new tax landscape while remaining financially viable. The end of the Perse program marks a significant shift in the government's approach to economic recovery, emphasizing the need for businesses to stand on their own as the nation continues to rebuild.
In summary, the termination of the Perse program signifies a pivotal moment for Brazil's events sector, as companies must now prepare to resume their full tax obligations. The government's focus on transparency and rigorous oversight suggests a commitment to maintaining fiscal discipline while supporting businesses in their recovery efforts.
