Lula signs budget and tax laws while facing political and judicial challenges

President Lula has signed several major pieces of legislation, including the 2026 budget and the final regulations for the tax reform. He vetoed about R$ 400 million in parliamentary amendments and blocked another R$ 11 billion in funds.

Separately, the government is dealing with political and judicial pushback. A court suspended Lula's changes to meal and food voucher rules for the company Ticket. Lula also made comments criticizing the owner of Banco Master and defended a higher minimum wage.