Lula may see a boost in popularity following the approval of the income tax exemption bill, the rapporteur of the taxation measure is trying to meet rural caucus demands, and the Minister of Tourism may be replaced

BRAZIL POLITICS - Report 03 Oct 2025 by Murillo de Aragão and Cristiano Noronha

The week ends on a positive note for the government following the approval of the income tax exemption bill. This is an important achievement for President Lula, who expects a boost in popularity as a result. Congressman Carlos Zarattini (PT-SP), the rapporteur of the measure, confirmed that he will withdraw the proposed taxation of Agribusiness Credit Bills (LCAs) and Real Estate Credit Bills (LCIs). On Wednesday, he said he was considering this as a way to meet demands from the rural caucus. Today, the future of Tourism Minister Celso Sabino (União) could be decided. The União party has ordered its members to step down from government positions.

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