Considering the changes set forth in the Constitutional Amendment 123/23, also known as tax reform, approved at the end of last year, the Legislative Assembly of the State of São Paulo proposed Bill 7/2024 (“PL”), which aims to establish progressive rates for the taxation of the Tax on Transmission “Causa Mortis” and Donation of Any Goods or Rights (“ITCMD”). The new rates will range from 2% to 8% depending on the amount of the transfer.

It should be noted that if approved, the effect of the changes brought by the PL must respect the nineagesimal and annual anteriority.

In this sense, we understand that is an important moment for taxpayers to reflect on the feasibility of making any donations and advances of legitimate ones even while the 4% rate is in force.