{"id":24159,"date":"2025-06-13T18:19:55","date_gmt":"2025-06-13T21:19:55","guid":{"rendered":"https:\/\/lefosse.azurewebsites.net\/government-revokes-iof-changes-with-new-decree-see-our-complete-guide-and-learn-about-the-updates\/"},"modified":"2025-12-11T09:35:33","modified_gmt":"2025-12-11T12:35:33","slug":"government-revokes-iof-changes-with-new-decree-see-our-complete-guide-and-learn-about-the-updates","status":"publish","type":"post","link":"https:\/\/lefosse.com\/en\/noticias\/alerta\/government-revokes-iof-changes-with-new-decree-see-our-complete-guide-and-learn-about-the-updates\/","title":{"rendered":"Government revokes IOF changes with new decree: see our complete guide and learn about the updates"},"content":{"rendered":"

Considering the recent changes made to the IOF regulation by Decree No. 12,499, dated June 11, 2025, we have compiled below an overview of the developments and the main impacts of the new rules, which come into effect on June 12, 2025.<\/p>\n

The new IOF decree revokes part of the amendments made in May and directly affects foreign exchange, credit, insurance, and securities operations. To assist in analyzing these changes, we provide a complete guide.<\/u><\/strong><\/span><\/a><\/p>\n

IOF-FX<\/strong><\/h2>\n

The new IOF decree changes the regulation that had been implemented between May 23 and June 11, 2025, revoking part of the previous amendments for foreign exchange operations.<\/p>\n\n\n\n\n\n\n\n\n\n\n\n
Outbound remittances<\/strong><\/span><\/td>\n<\/tr>\n
Type of transaction<\/strong><\/td>\nHow it was<\/strong><\/td>\nMay\/2025 changes<\/strong><\/td>\nHow it stands now<\/strong><\/td>\n<\/tr>\n
Transactions not subject to specific regulations (such as services, royalties, etc.)<\/strong><\/td>\n0.38%<\/td>\n3,5%<\/td>\n3.5%<\/td>\n<\/tr>\n
Repatriation of capital invested by a foreign investor in equity interests in Brazil<\/strong><\/td>\nDividends and interest on net equity (JCP) \u2013 0%Capital reductions and other transactions \u2013 0.38%<\/td>\nDividends and interest on net equity (JCP) \u2013 0%Capital reductions and other transactions \u2013 3.5%<\/td>\nDividends and interest on net equity (JCP) \u2013 0%Capital reductions and other transactions \u2013 0%<\/td>\n<\/tr>\n
Remittances related to transactions by payment instrument issuers involving purchases of goods and services and cash withdrawals abroad<\/strong><\/td>\n3.38% (reduced to zero until 2028)<\/td>\n3.5%<\/td>\n3.5%<\/td>\n<\/tr>\n
Travel checks, prepaid cards<\/strong><\/td>\n3.38% (reduced to zero until 2028)<\/td>\n3.5%<\/td>\n3.5%<\/td>\n<\/tr>\n
Funds made available abroad and purchase of foreign currency in cash<\/strong><\/td>\n1.1%<\/td>\n3.5%<\/td>\n3.5%<\/td>\n<\/tr>\n
Outbound remittances for investment purposes<\/strong><\/td>\n1.1%<\/td>\n1.1%<\/td>\n1.1%<\/td>\n<\/tr>\n
Specific operations subject to a zero tax rate or exemption<\/strong><\/td>\n0% or exemption<\/td>\n0% or exemption<\/td>\n0% or exemption<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n\n\n\n\n\n
Inbound remittances<\/strong><\/span><\/td>\n<\/tr>\n
Type of transaction<\/strong><\/td>\nPrevious framework<\/strong><\/td>\nMay\/2025 changes<\/strong><\/td>\nHow it stands now<\/strong><\/td>\n<\/tr>\n
Cross-border loans with an average maturity of up to 364 days<\/strong><\/td>\n0%<\/td>\n3.5%<\/td>\n3.5%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Check the comparative figures in the complete guide.<\/u><\/strong><\/a><\/span><\/p>\n

IOF \u2013 Credit<\/strong><\/h2>\n\n\n\n\n\n\n\n\n
Type of transaction<\/strong><\/td>\nPrevious annual cap<\/strong><\/td>\nPrevious annual cap<\/strong><\/td>\nCurrent annual cap<\/strong><\/td>\n<\/tr>\n
Loans between legal entities<\/strong><\/td>\nUp to 1.88%<\/td>\nUp to 3.95%<\/td>\nUp to 3.38%<\/td>\n<\/tr>\n
Advance payment to suppliers (with drawee\u2019s risk and forfaiting structures)<\/strong><\/td>\nNot subject to taxation<\/td>\nUp to 3.95%*1<\/sup><\/td>\nUp to 3%*1<\/sup><\/td>\n<\/tr>\n
Simples Nacional regime (transactions of up to R$30,000.00)<\/strong><\/td>\nUp to 0.88%<\/td>\nUp to 1.95%<\/td>\nUp to 1.38%<\/td>\n<\/tr>\n
MEI (Brazilian Individual Microentrepreneur) \u2013 transactions not exceeding R$30,000.00 <\/strong><\/td>\nUp to 0.88%<\/td>\nUp to 1.38%<\/td>\nUp to 1.38%<\/td>\n<\/tr>\n
Cooperative-related transactions<\/strong><\/td>\n0%<\/td>\nThe 0% rate applies exclusively to aggregate transactions below R$100 million<\/td>\nThe 0% rate applies exclusively to aggregate transactions below R$100 million<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

1<\/sup>In practice, transactions with suppliers usually do not reach the cap due to their short-term nature.<\/em><\/p>\n

The incidence of IOF on credit risk assumed by the borrower still raises significant doubts\u2014and may be subject to legal challenge.<\/p>\n

Learn more in the complete guide.<\/u><\/strong><\/a><\/span><\/p>\n

IOF \u2013 Securities (Securities and Financial Assets)<\/strong><\/h2>\n

The new IOF decree establishes a tax of 0.38% on contributions to FIDCs, except for:<\/p>\n

\u2013 Quotas subscribed until June 13, 2025;
\n\u2013 Quotas acquired on the secondary market.<\/p>\n

Learn more in the complete guide.<\/u><\/strong><\/span><\/a><\/p>\n

Validity of the Decrees<\/strong><\/h2>\n

Changes to Decrees No. 12,466 and 12,467:<\/strong><\/p>\n