The Brazilian Ministry of Environment and Climate Change has launched Ordinance GM/MMA No. 1,250/2024 to regulate the Incentive Mechanism for the Recycling Industry. This includes tax deductions for recycling projects, allowing submissions from various eligible entities with project values ranging from R$50,000 to R$8 million. Approved projects are authorized for execution for a maximum of three years, promoting collaboration and sustainability in recycling initiatives.
The Brazilian Ministry of Environment and Climate Change has enacted Ordinance GM/MMA No. 1,250/2024 to govern the procedures related to the Incentive Mechanism for the Recycling Industry. This ordinance necessitates that project proposals align with the objectives outlined in Article 3 of Law No. 14,260/2021, which promotes tax benefits for recycling initiatives. Proposals may be submitted by a variety of eligible entities including recyclers, educational institutions, non-profits, and small businesses, with a minimum project value set at R$50,000 and a maximum of R$8 million. Subsequent to approval, projects can be executed under an authorization term not exceeding three years.
Brazil’s commitment to enhancing its recycling sector is exemplified through the Law of Incentives for the Recycling Industry, which implemented tax deductions for contributions made towards recyclable project financing. This framework provides a structured method to encourage recycling initiatives across various sectors, engaging both private and public entities to facilitate environmental sustainability and innovation within the recycling industry.
In conclusion, the enactment of Ordinance GM/MMA No. 1,250/2024 represents a significant step towards fostering a robust recycling ecosystem in Brazil. With tax incentives aimed at both individuals and businesses, the mechanism not only encourages participation from diverse entities but also aligns with broader environmental goals. By establishing clear criteria for project submissions and emphasizing collaboration with recyclable material collectors, this ordinance advances Brazil’s efforts in sustainable waste management and environmental stewardship.
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