Government waives IOF tax for 90 days, Revenue Service announces.

Government waives IOF tax for 90 days, Revenue Service announces.

The Special Secretary of the Federal Revenue Service, José Tostes Neto, announced the measure this Wednesday (April 1st), in a press conference at the Planalto Palace.

The government will waive the Financial Operations Tax (IOF) on credit operations for 90 days to mitigate the economic damage caused by the coronavirus pandemic in the country. The Special Secretary of the Federal Revenue, José Tostes Neto, announced the measure this Wednesday (April 1st) in a press conference at the Planalto Palace.

Currently, the interest rate is 3% per year. The measure will cost the federal government R$ 7 billion and follows the creation of a credit line to support companies at reduced interest rates, as part of a package to mitigate losses.

Another measure announced by Tostes is the postponement of PIS/Cofins payments and contributions from companies and public bodies to Social Security. "These are contributions that would be due in April and May and will be deferred (postponed) to August and October," he explained.

The third action taken by the Internal Revenue Service is the postponement of the deadline for filing the Individual Income Tax Return (IRPF), from April 30th to June 30th. "We decided on the extension considering demands and reports from taxpayers who are confined to their homes," he said.

By Alessandra Azevedo

Source: Correio Braziliense