For many people, it is a challenge to run a business with the high tax load forced on them. Flavio Maluf, however, encourages these companies by suggesting tax incentives as a way to lighten this burden.
Born in 1961, Flavio Maluf is the son of a politician and successful businessman. Despite growing up in a family of wealth, he has managed to create his empire and build upon his wealth. Maluf attributes his success to not just hard work but also superior business skills.
Establishing a Career
Eucatex was an idea conceived by Maluf’s great-grandfather Salim. He owned one of the biggest sawmills in Latin America. He founded it in 1940. Eucatex was derived from Eucalyptus which is what is used to manufacture slabs for furniture and civil construction products. His uncle and father chose to use the sawmill forests to start a wood fiber lining industry in the 60’s. Learn more at mundodomarketing.com about Flavio Maluf
Flavio Maluf chairs the Board of Executive Officers at Eucatex. He is the Vice President of the Board at Eucatex S.A Industria e Comercio. Mr. Flavio is also the Vice Chief Executive Officer of Eucatex Trading e Engenharia and the Chief Executive Officer of Eucatex S.A QuÍmica e Mineral.
About Tax Incentives
Fiscal Incentive Laws propose to provide businesses the opportunity to channel part of the money they pay in taxes to programs contemplated by these legislations. They may be cultural, economic, social, health programs, technological or scientific research. The money, therefore, benefits the community instead of going straight to the government. The objective is to boost the social and economic development of the nation.
Nevertheless, this does not mean the companies will not give full taxes, they will, but the funds will be spent more appropriately. Flavio emphasizes that the key advantage of tax incentives is to enable the business gain a positive appearance by identifying its name with a cultural, social or sports project.
With that said, each state and municipality has different fiscal and incentive programs. They can be either municipal, state or federal. Also, the company must tax based on actual profit in order to gain from tax incentives.