Brazil government raises IOF tax to pay for new Family Grant

A statement from the Presidential Office says that the temporary change will raise revenue by R$2.14 billion (US$407 million), but does not mention the amount of the IOF (tax on financial operations) rate increase.

RIO DE JANEIRO, BRAZIL - Having failed to resolve the court-ordered federal debt impasse, President Jair Bolsonaro issued a decree increasing the IOF tax rate to finance both the increase of "Auxílio Brasil" (Brazil Aid) and the redesign of the "Bolsa Família" (Family Grant) program, which has not yet come into force.

This decree will alter the rates on the tax on financial transactions, exchange, insurance, and securities known as IOF, imposed on financial operations carried out by legal entities and individuals.

According to a statement from the Planalto Palace, the new rates will come into force between . . .

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