Shafaqna English– In a surprising development, a Brazilian court suspended the 12% oil export tax on Thursday, while the government simultaneously extended it for another 60 days. These contradictory measures have raised significant uncertainties about the future of this tax.
The contradictory actions of the court and the government have made the future of the 12% oil tax—which oil companies have contested—highly ambiguous. It appears that these disputes will place the Lula administration on a path toward a protracted legal conflict with oil producers.
Source: Reuters