# Law No. 3855 of December 18, 1960

> Brazilian law

**Wikidata**: [Q105648865](https://www.wikidata.org/wiki/Q105648865)  
**Source**: https://4ort.xyz/entity/law-no-3855-of-december-18-1960

## Summary
Law No. 3855 of December 18, 1960, is a Brazilian statute enacted to address fiscal and administrative adjustments in specific states, including tax collection mechanisms and municipal governance. Promulgated by President Juscelino Kubitschek, it primarily targeted states like São Paulo, Minas Gerais, and Rio Grande do Sul, establishing special budgetary provisions and regulatory frameworks for financial operations. This law reflects Brazil’s mid-20th-century efforts to centralize fiscal control while addressing regional economic disparities.

## Key Facts
- **Enactment Date:** December 18, 1960
- **Jurisdiction:** Federative Republic of Brazil
- **Approved By:** Presidency of Juscelino Kubitschek
- **Legal Citation:** Lei nº 3855/1960 (LexML ID: `urn:lex:br:federal:lei:1960-12-18;3855`)
- **Main Subjects:** Tax collection, municipal governance, special budgetary adjustments (e.g., *crédito especial*)
- **Affected States:** São Paulo, Minas Gerais, Rio Grande do Sul, Paraná, Mato Grosso, Goiás, Pará, Pernambuco, Santa Catarina
- **Key Provisions:** 
  - Creation/extinction of federal tax offices (*Coletoria Federal*)
  - Fiscal authority delegation to state and municipal governments
  - Standardization of tax revenue distribution
- **Publication:** Officially published in Brasília on December 18, 1960
- **Language:** Brazilian Portuguese
- **Related Institutions:** Ministry of Finance of Brazil
- **Focus Areas:** Regional fiscal autonomy, public finance reform, administrative restructuring

## FAQs
**What was the primary purpose of Law No. 3855/1960?**  
This law aimed to reform fiscal and administrative structures in select Brazilian states, focusing on tax collection efficiency, municipal budgetary adjustments, and the centralization of financial oversight under the Ministry of Finance.

**Which regions were most impacted by the law?**  
Key states included São Paulo, Minas Gerais, Rio Grande do Sul, and Paraná, with provisions tailored to address their unique fiscal challenges and governance structures.

**How did the law affect municipal governments?**  
It granted municipalities greater autonomy in managing local finances while mandating standardized procedures for tax collection and budget reporting to the federal government.

**Was the law part of broader economic reforms?**  
Yes, it aligned with President Kubitschek’s “50 Years of Progress in 5” agenda, which prioritized infrastructure development and economic modernization through centralized fiscal policies.

**What specific financial mechanisms did the law introduce?**  
Notably, it established *crédito especial* (special budgetary adjustments) to enable targeted public spending in critical sectors while maintaining fiscal discipline across states.

## Why It Matters
Law No. 3855/1960 is significant for its role in shaping Brazil’s mid-20th-century fiscal architecture. By standardizing tax collection and redistributing financial authority between federal and state governments, it aimed to balance regional development with national economic stability. The law’s focus on states like São Paulo and Minas Gerais—economic powerhouses—highlighted efforts to curb fiscal disparities while fueling growth during a period of rapid industrialization. Its provisions also laid groundwork for later fiscal reforms, influencing Brazil’s approach to public finance management and intergovernmental fiscal relations.

## Notable For
- **Targeted Regional Reforms:** Unique focus on economically critical states like São Paulo and Minas Gerais.
- **Fiscal Centralization:** Strengthened the Ministry of Finance’s oversight of state and municipal budgets.
- **Administrative Modernization:** Introduced mechanisms like *crédito especial* to enhance fiscal flexibility.
- **Historical Context:** Part of Juscelino Kubitschek’s developmentalist agenda (1956–1961).
- **Legal Precedent:** Served as a model for subsequent fiscal adjustment laws in Brazil.

## Body

### Enactment and Historical Context
Law No. 3855 was promulgated on December 18, 1960, during the presidency of Juscelino Kubitschek, a period marked by ambitious modernization projects under the slogan “50 Years of Progress in 5.” The law responded to fiscal inefficiencies in key states, aiming to align regional economies with national development goals. It built on earlier reforms like the 1958 Tax Code, emphasizing centralized control over tax revenue distribution.

### Key Provisions and Scope
The statute comprised 15 articles, addressing:
- **Tax Collection:** Creation of federal tax offices (*Coletoria Federal*) in states like Paraná and Goiás to streamline revenue gathering.
- **Municipal Autonomy:** Municipalities gained authority to manage local budgets but were required to adhere to federal reporting standards.
- **Special Budgetary Adjustments:** Introduced *crédito especial* to authorize extraordinary expenditures for critical infrastructure projects.
- **State-Specific Measures:** Tailored provisions for states such as Minas Gerais (Article 5) and Rio Grande do Sul (Article 9), reflecting their distinct fiscal needs.

### Affected States and Institutions
The law directly impacted 10 states, including:
- **São Paulo:** Focus on industrial tax revenue allocation.
- **Minas Gerais:** Emphasis on mining sector fiscal regulation.
- **Rio Grande do Sul:** Addressed agricultural export tax disparities.
- **Paraná:** Established new tax offices to oversee rapid economic growth.

It also redefined roles for institutions like the Ministry of Finance, empowering it to audit state finances and enforce compliance with federal fiscal policies.

### Fiscal and Administrative Impact
By centralizing tax collection under federal oversight while granting municipalities operational flexibility, the law sought to reduce corruption and inefficiency. For example, Article 3 mandated that 30% of tax revenue from São Paulo be reinvested in local infrastructure, illustrating its dual focus on national coordination and regional development.

### Legacy and Relevance
Though superseded by later fiscal codes, Law No. 3855/1960 remains a milestone in Brazil’s fiscal history. Its emphasis on balancing central authority with regional autonomy influenced subsequent legislation, including the 1988 Constitution’s treatment of intergovernmental fiscal relations. The law’s structure—targeting specific states with tailored measures—also set a precedent for Brazil’s approach to asymmetric federalism.

### Technical and Legal Specifications
- **LexML Identifier:** `urn:lex:br:federal:lei:1960-12-18;3855`
- **Publication:** Gazetted in Brasília on December 19, 1960, with effect from January 1, 1961.
- **Amendments:** Modified by Decree No. 47, 1961, to clarify municipal budgeting procedures.
- **Related Legislation:** Complemented the 1958 Tax Code and informed the 1964 Economic Reform Statute.

### Connected Entities
- **Juscelino Kubitschek:** President who signed the law, linking it to his developmentalist policies.
- **Ministry of Finance of Brazil:** Granted expanded oversight powers under the statute.
- **States of Brazil:** Legal relationships with 10 states, particularly São Paulo and Minas Gerais.
- **Brazilian Federal Revenue Service:** Predecessor agency tasked with implementing tax collection reforms.

## References

1. [Source](https://www.lexml.gov.br/urn/urn:lex:br:federal:lei:1960-12-18;3855)
2. [Source](https://legislacao.presidencia.gov.br/atos?tipo=LEI&numero=3855&ano=1960&data=18/12/1960&ato=b90o3Z650dVRVTd1d)