The repatriation of R $ 48 billion by a Brazilian family within a process of patrimonial succession is in the sights of PGE (Attorney General of the State of São Paulo), which tries to collect tax on the transfer of resources, which was made abroad.
The cause, which is under secret from the courts, may yield to the government of São Paulo around R $ 2 billion, the equivalent of one year of collection of ITCMD (Tax on Transmission Cause Mortis and Donation of Any Goods or Rights).
The case involving the inheritance succession was reported by columnist Lauro Jardim, from the newspaper O Globo. This Monday (19), Folha’s column SA, reported that the tax was not collected and that PGE acts in the case.
The Attorney’s Office confirmed that there was a repatriation, that the tax was not paid because the family has a favorable judicial decision in this regard and that it is acting in the case. He did not say, however, when the money would have entered the country.
According to the Attorney’s Office, there are other taxpayers with judicial decisions in the same direction, in operations that add up to another R $ 2 billion repatriated after the transfer of assets abroad. The operation of this single family, therefore, represents 98% of the money involved in the discussions.
Among the business environment, the concentrated amount was the one that most attracted attention. Names of bankers and big businessmen were cited as possible owners of the billionaire heritage.
A great businessman even said that the amount could not only contain money, but that it could be the transfer of some family holding company and that the book value of the business would be considered.
A solution to the controversy may arise from the judgment of a case by the STF (Supreme Federal Court), with general repercussions, scheduled for next Friday (23), also related to the collection of the ITCMD over an estate succession in the abroad, with the PGR (Attorney General’s Office) positioning favorable to the taxpayer.
The movement occurs at a time when São Paulo still charges a rate of 4%, one of the lowest in the country, and there is a project in the Legislative Assembly to create progressive taxation of up to 8%, as in several other states.
“There is a discussion in court about the possibility of whether or not the ITCMD is levied on succession cause mortis in assets abroad. States charge under ordinary state laws, but there is no complementary national law providing for charging, and the constitution requires it. For this reason, several taxpayers have filed a lawsuit ”, says Ana Cláudia Utumi, founding partner of Utumi Advogados.
Lawyer Pedro Teixeira de Siqueira Neto, a partner at Bichara Advogados, says that when the succession occurs within Brazil, the tax is due and there is no controversy regarding the issue. If it occurs outside the country, however, there is this difference in interpretation between taxpayers and the tax authorities, if the country could charge for an operation that took place abroad. There is no specific tax collection due to the repatriation itself.
“The only tax you could have is the ITCMD of the succession that occurred abroad, if that is what happened [nesse caso]. It could possibly be charged, but today the jurisprudence is in the sense that you do not have to pay the tax. If it happened out there, it makes sense. Brazil lacks sovereignty for you to do this ”, says Siqueira Neto.
The case on trial at the STF concerns an apartment inherited in the Italian city of Treviso.
The inflow of the US $ 9 billion repatriated by the Brazilian family was not perceived by the foreign exchange market and may be insufficient to avoid a record negative balance in financial transactions abroad this year.
The value represents two days of movement in this market, according to experts, and does not appear in any of the exchange statistics released so far, which may mean that the resources were internalized in installments.
Although expressive, the value is still small in view of the massive outflow of resources from the country seen since the beginning of the Jair Bolsonaro government (without a party).
According to data from the Central Bank, in 2019, the outflow of financial resources was US $ 62.2 billion, a record nominal value of the series started in 1982. In 2020, capital flight already totals US $ 52.2 billion, considering data until the last 9th, almost 70% more than that registered in the same period last year.
This statistic does not consider the trade flow, such as exports and imports, which is more favorable this year than in 2019.
It was not informed when the money entered the country. In August, the positive balance of US $ 2 billion in investments in public securities traded in Brazil stood out, although it is not possible to relate the two operations.
The dollar rate of around R $ 5.60 in recent months is a factor that makes the transaction timely.
The real is one of the currencies that lost the most value against the US currency this year. The Brazilian exchange rate has been deteriorating due to factors such as distrust of investors in relation to fiscal policy, low economic growth and a drop in the interest differential in relation to advanced countries.
A quote of R $ 5.40, for example, would already represent about R $ 2 billion less, practically the money that the state of São Paulo tries to collect from ITCMD (Tax on Transmission Cause Mortis and Donation of Any Goods or Rights) about the operation in question.