New IOF rate
Did you know that the new tax rates for the Financial Operations Tax (IOF), which began today (September 20), increase the cost of credit for families and companies.
The increase of 36% will be charged until December 31, 2021 and this will reflect on credit, exchange and insurance operations or related to bonds and securities.
The government's main objective is to pay for Auxilio Brasil, a program that should replace Bolsa Família.
Therefore, if you are lost in the middle of what is happening, in this article we will shed more light on the subject for you.
What is the IOF?
IOF is a tax levied by the government on certain financial transactions.
It has two different rates: the daily rate and the fixed rate that finances credit and exchange operations (purchase and sale of foreign currency, as well as the dollar).
Insurance companies, which are related to bonds or securities, are also related to gold. This means that when taxes increase, the total effective cost of each operation is higher.
The increase in IOF interest rates will affect credit operations (such as loans and financing).
The increase will also apply to financing operations for the acquisition of non-residential properties, where the borrower is an individual (0.01118% per day).
For legal entities, the annual interest rate has increased from 1.5% (current daily interest rate 0.0041%) to 2.04% (daily interest rate 0.00559%).
That is, for example, when someone enters the overdraft or delays credit card invoices and financing, the new interest rate will be applied.
It is worth mentioning that the new amount will only be charged for the daily rate of these credit operations.
In these cases, the calculation basis is the principle of each issue. An example: Anyone who falls into the credit card cycle will be charged 0.38% of the amount plus a daily rate of 0.01118%. Payday loans and overdrafts will have the same interest rate.
Another important point is that the decree excludes legal entities from Simples Nacional from charging the new tariffs.
For them, the current commercial credit daily interest rate is maintained at 0.00137% per day.
How to calculate?
If you want to know how to calculate the IOF for loans and financing, know that the fees are included in the installments described.
Thus, 0.38% of the loan amount will be charged, plus 0.0082% of the daily percentage calculated based on the total amortization term.
Who is exempt?
Credit businesses for housing purposes, including infrastructure or basic sanitation, will be exempt from the IOF financing business for the purchase of domestic passenger cars with a total power of up to 127 horsepower.
When acquired by physically disabled persons, the State Detran. Even in the case of a guarantor, you will never have to pay.
reasons
Another reason is that the IOF must be paid. As we saw above, this part is correct, but in any loan, the IOF amount is diluted between the installments and does not need to be paid in advance.
The creation of Auxílio Brasil is estimated at US $ 1.62 billion. For 2022, the intention is to fund the plan by reintroducing taxes on profits and dividends, which is a Senate proposal.
“The reason for observing the tax rules was decided. Despite the record collection, the Fiscal Responsibility Law (LRF) determines that a source must be indicated for the increase in mandatory expenditure.”
"The institution of the Auxílio Brasil social program will lead to an increase in certain mandatory expenses of a continuous nature in R1TP4Q1.62 billion"- he notes.
According to the government, the increase in the IOF will allow the collection of another 2.14 billion reais to fund the new Bolsa Família.
Bolsonaro presented a provisional measure for the new plan to Congress, but has not yet announced the installment amount to the beneficiaries.
However, the cost of implementing Auxílio Brasil in 2021 will exceed the 2.14 billion reais raised by the IOF.
In August, Bruno Funchal, special secretary for Finance and Budget at the Ministry of Economy, estimated that the additional cost of the program would be between 26 billion reais and 28 billion reais in 2022 – from 217 reais to 23.3 reais per month. millions of reais.
According to an article released by the Secretary General of the President of the Republic: “This measure will directly benefit around 17 million families and aims to alleviate part of the harmful economic impact of the pandemic”.