RIO DE JANEIRO, BRAZIL – The São Paulo Urban Property Tax (IPTU) will increase by 3.5 percent in 2020. This adjustment was published on Tuesday, 24, in the São Paulo City Gazette by Mayor Bruno Covas.
The increase applies to constructed units and bare land, as well as to fines resulting from the practice of administrative tax offenses and the reference market values.
The 2019 inflation, measured by the National Wide Consumer Price Index (IPCA), is expected to be 3.98 percent.
There will be a three percent discount for those paying in cash by the payment date of the first IPTU installment.
In the 2019 fiscal year, the IPTU had also been readjusted by 3.5 percent, but some 90,000 taxpayers received the bill with a 50 percent increase. Later, Covas retreated, proposed a ten percent increase and pardoned the debt of these 90,000 taxpayers.
Earlier this month, Covas issued a decree that provides tax exemption for samba schools and institutions that organize the carnival parade at the Anhembi Sambadrome. The legislation is not valid for street carnival organizations.