The Attorney General's Office for National Treasury and the Special Secretariat of the Federal Revenue of Brazil have issued two notices with proposals for the settlement of federal tax credits. The aim is to offer new methods for taxpayers and companies to regularize their tax situations. Below are the main aspects and implications of the new rules.

Notice PGDAU 2/24

The Attorney General's Office for National Treasury published Notice PGDAU 2/24 on May 13, which presents proposals for the negotiation of credits enrolled in the Union's active debt.

According to the notice, the following are eligible for negotiation: credits enrolled in the Union's active debt, even if in the stage of a filed lawsuit or subject to previous rescinded installment, with suspended or unsuspended enforceability, whose consolidated value is equal to or less than R$ 45 million.

The notice provides for three types of negotiation:

  • enrollment in the Union's active debt collection;
  • small value dispute related to the Union's active debt collection processes; and
  • registrations secured by guarantee insurance or surety bond.

Among the main requirements for joining the negotiation, the provisions of article 3 stand out:

  • for the negotiation of already installment credits, joining is conditioned on the prior withdrawal from the ongoing installment;
  • the negotiation must cover all eligible registrations that are not secured, installment or suspended by judicial decision. Partial joining is prohibited, but the combination of one or more available types is allowed;
  • joining related to credits enrolled in the Union's active debt subject to judicial discussion is subject to the presentation of withdrawal from the actions, objections, or appeals related to the negotiated enrolled credits;
  • if the taxpayer is part of an economic group, whether recognized or not in an administrative or judicial decision, they must list all related parties and allow their inclusion as co-responsible in the active debt systems.

The notice provides for discounts of up to 100% on interest, fines, and legal charges according to the taxpayer's payment capacity and the recoverability degree of the tax credit. Regarding the debt installment, it is possible to settle the debt in up to 133 months.

It is also noteworthy that, by joining the negotiation, the taxpayer is obliged to authorize, at the time of effective financial availability, the offsetting of values related to:

  • refunds, reimbursements, or reimbursements recognized by the Special Secretariat of the Federal Revenue of Brazil, with installments of the signed agreement, due or to become due; and
  • federal court orders.

Furthermore, the negotiation provided for in Notice PGDAU 2/24 does not include the use of credits resulting from tax loss and negative calculation base of the Social Contribution on Net Profit (CSLL).

Interested taxpayers can already join the negotiation, exclusively through the Regularize portal, until August 30.

Notice PGDAU 6/24


On the other hand, Notice PGDAU 6/24, jointly published by the Attorney General's Office for National Treasury and the Special Secretariat of the Federal Revenue of Brazil on May 17, deals with the possibility of negotiating tax credits "whose collections are the subject of administrative or judicial dispute related to discussions on the Withholding Income Tax (IRRF), the CIDE, the PIS, and the COFINS on remittances abroad, resulting from the bipartition of the legal business agreed upon in a charter party contract for vessels or platforms and another for service provision" under the terms of Law 9,481/1997.

Therefore, it is a proposal by the tax authorities for the negotiation of debts of relevant and widespread legal controversy related to the oil sector, commonly known as split contractual.

According to the notice, taxpayers who join the program can pay the tax credits under the following conditions:

  • after the automatic conversion of deposits into final payment, a 65% discount on the total debt value or eligible entry for negotiation. The remaining amount is paid as follows:
  • a minimum initial payment of 30% of the debt or eligible entry for negotiation, after the application of the 65% discount mentioned above; and
  • payment of the remaining balance in up to six monthly installments.
  • 35% discount on the debt value or eligible entry for negotiation. The remaining amount is paid as follows:
  • a minimum initial payment of 10% of the debt or eligible entry for negotiation, after the application of the 35% discount mentioned above; and
  • payment of the remaining balance in up to 24 monthly installments.

The negotiation allows the use of tax loss and negative calculation base of CSLL credits owned by the taxpayer, the controlling legal entity, or controlled entities - directly or indirectly - or companies controlled - directly or indirectly - by the same legal entity, calculated and declared to the Federal Revenue of Brazil, regardless of the business line, up to the limit of 10% of the remaining balance after the application of the discounts indicated above.

Finally, we highlight some points of attention:

  • according to item 1.2 of the notice, the taxpayer must include in the negotiation all tax debts related to the subject;
  • item 2.14 of the notice indicates that joining the negotiation implies the taxpayer's or the responsible party's compliance with the tax administration's understanding of future or unconsummated triggering events, related to the incidence of IRRF on the portion of the charter party or rental contract for maritime vessels that exceeds the percentages established in §§ 2, 9, and 11 of article 1 of Law 9,481/97, with the wording given by Law 13,586/17; and
  • for the purpose of joining the negotiation program, the taxpayer must waive the administrative and judicial processes related to the tax debts subject to the negotiation. However, in the judicial sphere, the waiver or withdrawal of the action would imply the condemnation of the party to the payment of attorney's fees, calculated based on the updated value of the debt. The notice does not provide for the waiver of the payment of the costs of losing.

Joining the negotiation provided for in Notice PGDAU 6/24 must also be done through the Regularize portal. The deadline is August 31.

Our tax team is fully available to address in more detail and depth the aspects, requirements, and points of attention of the two notices.