The unconstitutionality of progressive taxation on the use of solar energy under Law no. 14,300

Abstract

The aim of this article is to analyze and discuss how progressive taxation will impact the cost of solar energy, and how incentives for the adoption of solar energy and tax equity will provide access and opportunities not only for the private and governmental sectors but also for low-income families. With the increasing use of fossil fuels and the consequent release of emissions into the atmosphere, there is a growing need for the production of clean and sustainable energy that minimizes environmental impact and utilizes affordable raw materials for production. In this quest for a solution, solar energy, generated through silicon-based photovoltaic panels, has emerged as the most viable option. However, the progressive taxation, known as the “solar tax,” established by law 14.300/2022, poses a significant challenge by increasing labor and acquisition costs. The methodology chosen for this study was a literature review, sourcing academic materials from Google Scholar.