IPTU and Fiscal Progressivity of the Rates in the Increment of Municipal Tax Revenue

Main Problems and Case Study in the County of Caruaru/PE

Abstract

Most Brazilians counties underuses an important source of resources – the IPTU. In this sense, the perception of the Principle of Contributory Capacity as a isonomic taxation guide and the understanding about the possibility of effective increase of tax revenues through fiscal progressivity from the rates reveal themselves as extreme important on the necessary process of IPTU potentiation. With the survey of the main issues faced by counties, this article aimed to clarify difficulties in the elaboration of laws about fiscal progressivity from IPTU. In order to grant practical character to the study, it was suggested legislative innovation about the subject in Caruaru/PE, which would represent significant gain in the municipal revenue on the next financial years. At the end, it remained possible to realize the imperiousness of the municipal reality analysis and the consequent adequacy of its legislations to reconcile the increase of IPTU revenue doing tax justice.