[carlosjobim]

You're right, it's not surprising at all. It's a tax meant to make revenue for the government. But all my life I've heard from people (who have never had a business), that businesses get back all their VAT. It doesn't help showing them the accounting, which very clearly shows VAT paid and VAT deducted.

It's a misconception that is on the level of people believing that their progressive tax rates are applied back towards previous salaries or business owners who think you should increase prices for the customers you have to make up for the customers you lost.