Supreme Court (STF) clarifies that IOF increase does not apply during the suspension period of the decree

The Supreme Court clarified, on July 18, that the increase in the Tax on Credit, Exchange, and Insurance Operations, or related to Securities or Financial Instruments (IOF) cannot be applied to operations carried out during the period when Decree 12,499/2025 was suspended, that is, between June 26 and July 16, 2025.

The Court's argument is that, to ensure legal certainty, the increased rates should not be charged during the aforementioned period, thus avoiding legal disputes.

This clarification by the Supreme Court was in response to a petition from Federation of Industries of the State of Paraná (FIEP), which pointed out that various financial operations, such as credit, foreign exchange, insurance and investments, had been carried out considering the suspended rate.

Also read: Supreme Court partially reinstates decree raising IOF rates

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