2023-07-11 14:30:06
Last Friday (7), the Proposal for an Amendment to the Constitution (PEC) of the tax reform was approved by the Chamber of Deputies, which may increase the collection of taxes on inheritances and donations, with changes in the Tax on Transmission Cause Mortis and Donation (ITCMD).
In addition to this change, there is also the determination that the charge should be made according to the inherited value.
The ITCMD is a tax collected at the state level with a maximum rate of 8%, with the possibility of progressive taxation regimes according to the inherited value.
It is worth remembering that ITCMD is levied on inheritances, donations, transfers and other types of free transactions from one person to another, as long as purchase and sale operations are not involved.
In addition, the tax is also applied to the division of assets of a couple that divorces, depending on the case of separation.
With the tax reform, the main changes foreseen for the ITCMD are:
Progressive taxation on inheritances; Collection of tax in the domicile where the person died; Permission for higher collection on inheritances abroad; Exemption from tax on donations to non-profit institutions.
progressive taxation
A point to be emphasized is that the collection ceiling remains the same, at 8%, however the change in the rules, transforming the collection into progressive taxation, should make more States explore the maximum rate limit.
For example, in São Paulo, the ITCMD charged is fixed at 4%.
With the new definition, the tax will be applied progressively according to the value of the inheritance or donation.
Thus, each state will continue to have autonomy to decide the maximum and minimum rates.
In the state of Rio de Janeiro, the applied ITCMD already follows the model proposed in the PEC, with a rate that varies between 4% and 8%.
4% for amounts up to BRL 303,303; 4.5% for amounts between R$303,304 and R$433,290; 5% for amounts between R$433,291 and R$866,580; 6% for amounts between BRL 866,581 and BRL 1,299,870; 7% for amounts between BRL 1,299,871 and BRL 1,733,160; 8% for amounts above BRL 1,733,161.
Provided for in the Federal Constitution, this new definition extended to all states can happen in order to fill the gap left by the lack of a tax on large fortunes, as explained by tax lawyer Renato Aparecido Gomes.
“The establishment of progressivity based on the size of the amount to be transferred from the inheritance or donation, in a way, is in line with this same [do Imposto sobre grandes fortunas]”, explains Gomes.
It will be the turn of state governments that do not have a progressive rate, after the tax reform is put into effect, to legislate on the subject to define the new values, of course respecting the new rules.
Other modifications
ITCMD can currently be collected where inventory is processed or where the donor lives.
As the charge differs from state to state in Brazil, the rate may be more expensive or cheaper depending on the chosen alternative.
With the tax reform, tax collection will be made in the deceased person’s state of residence.
The norm aims to prevent heirs from seeking regions with lower taxation to process the inventory.
In addition, the collection of tax on inheritances and donations from abroad will also be allowed, which will still depend on a rule established by Complementary Law (LC).
It is worth mentioning that the inheritance of those who lived abroad was currently exempt from collection.
With information from Valor Econômico
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