Tax system spurs rift at Anfavea SAO PAULO — Anfavea Automotive Manufacturers Assn. is experiencing a schism unparalleled in its history, analysts say. Companies that mainly manufacture entry-level cars, such as Fiat Auto SpA, want to maintain the current tax system, which taxes subcompacts at 10% and other vehicles at 25%. Others with large and midsize vehicles, including General Motors Corp. and Volkswagen AG, want to see a flat tax rate of 16% for all vehicles. Celio Batalha, the new ...

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