- Brazil issued Decree No. 12.499 on 11 June 2025, repealing previous decrees and adjusting financial transaction tax rates.
- The decree affects insurance, credit, and foreign exchange transactions.
- The IOF rate on life insurance contributions was increased to 5% for contributions exceeding certain thresholds.
- Corporate loan transaction rates were adjusted, maintaining the daily rate but lowering the initial rate.
- A 0% IOF rate was established for foreign exchange transactions related to foreign investment returns.
- The changes aim to raise revenue amidst a spending freeze and address previous backlash.
Source: regfollower.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
