Democracia, desigualdade política e benefícios tributários

Abstract

During fiscal crises, alternatives to rebalance public accounts are discussed prevailing notably the idea that primary expenditures need to be controlled and ignoring other aspects that equally impact the budget. The waiver of tax revenues, which estimates show a vigorous ascending trajectory over the recent years, is one of those frequently ignored factors that impact the balance of public accounts. In this context, this thesis has been developed aiming to demonstrate how the political inequality and the related crisis of democracy legitimacy - both caused mainly by the disproportionate influence of the economic power – may be negatively affecting the conception of the national tax sistem by emphasizing the focal and unreasonable concession of benefits related to taxes that are of the Federal Government competence. The research was carried out by combining theoretical and empirical approaches, and by the specific analysis of rigged benefits, which represent great loss in revenues. In addition, it analyzed the current normative design and some proposals to improve fighting against the establishment of such heinous privileges, which, ultimately, has favored taxpayers with high capacity in detriment of other underrepresented segments of society, whom, in turn, are required to cover the amount due by those who obtained such illegitimate tax favors, with impacts on the increase of both regressive tax load and socioeconomic inequality