Flavio Maluf on Tax Incentives

Flavio’s father is a rich politician and businessman. Flavio got his degree in mechanical engineering at the Armando Alvares Penteado Foundation. He then took over leadership of the family business and became a full-time entrepreneur. He is the president of Grandfood and CEO of Eucatex. The idea of Eucatex came from his great-grandfather, Salim. He had a large sawmill in Latin America. In the 60’s, he together with his father used the sawmill forests for a wood fiber lining industry. The name Eucatex originated from the Eucalyptus tree the company uses. Learn more at mundodomarketing.com about Flavio Maluf

In a May 6, 2018, article, Eucatex president talks about tax incentives. Many entrepreneurs due to high tax burdens find it difficult to transact in Brazil. There are some tactics that work in favor of businessmen.

Helping companies direct a part of their tax value to projects is the goal of the Fiscal Incentives Laws. Companies will be able to invest in social, cultural and sporting projects. The money will be for societal benefits instead of going to the government. The game plan is to foster developments in the economy and society, reports Flavio Maluf.

This does not mean that companies will not spend the amount meant for taxes. They will use it in a more strategic manner. Flavio Maluf emphasizes that the game plan behind this incentive is to build a name for the company. This they will achieve by associating with social and cultural projects. Saving of money intended for popularizing the company will be possible.

He adds that there are regional tax incentives. In this policy, companies in particular regions get the tax benefits. In Brazil, an example is the Manaus Free Zone. The aim behind its foundation was to promote development in Western Amazon.

Flavio Maluf points out that some of the incentives base on a company’s area of specialization. The purpose of this is to promote a specific industry. They may take the forms of tax reductions and compensation. Sectors that enjoy this are information technology, aerospace, and port sectors. More information click here: https://www.crunchbase.com/person/flavio-maluf

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