- Extend the term of the foreign currency loans from two to three years. From now on, foreign currency loans obtained as from March 1st, 2012 which minimum average term is lower than three years are subject to Tax on Exchange Transactions (IOF) at 6% rate. For operations exceeding the three year-period, there is no such taxation since the applicable IOF rate is zero.
- IOF rate is equal to 0% for foreign exchange transactions, including simultaneous operations, associated with investments in Brazilian Depositary Receipts – BDR.
For more information, contact a tax professional with KPMG in Brazil:
Marienne Coutinho, +55 11 2183-3182, firstname.lastname@example.org
Ericson Amaral, +55 11 2183-3375, email@example.com
Murilo Mello, +55 11 2183-3261, firstname.lastname@example.org
Fabiana Pereira, +55 11 2183-6571, email@example.com
Fernando R. Martins, +55 11 2183-3284, firstname.lastname@example.org
Valter Shimidu, +55 11 2183-3269, email@example.com
Roberto Haddad, +55 21 3515-9469, firstname.lastname@example.org
Julio C. de Cepeda, +55 21 3515-9133, email@example.com