Tax Recovery Program: deadline for applications extended to June 30

The Attorney General's Office of the National Treasury (PGFN) has published Ordinance No. 3,714/2022, extending to June 30 the deadline for applying to debt renegotiations under the Tax Recovery Program. As a result, debts entered in the FGTS or Federal past-due liability rosters until April 29, 2022 may be renegotiated.

Those who have a transaction agreement already in place may request a renegotiation to include new debts along the same lines as the original negotiation. For agreements still in the transaction or installment planning stages, it will also be possible to change arrangements by withdrawing from the previous contract should the taxpayer opt for more favorable terms.

Withdrawals may be made until May 31 and are irrevocable; therefore, taxpayers must be sure that they fulfill the requirements of the intended new arrangement and must be aware of the risks of losing benefits granted by the previous contract.

The Tax Recovery Program was launched in September 2020 due to the economic turmoil caused by the pandemic, and aims to foster tax compliance and boost production activities.