On June 15^th, State Treasury of Sao Paulo (“Sefaz-SP”) started a new stage of “Operation Donatio”.

This fiscal assessment aims to verify any donations made in 2019 and presented in the tax returns, but without the duly collection of the state tax on donation (“ITCMD”).

The tax authority will intend to notify 18,441 taxpayers and collect 50 million reais until April 2024.

Following the same understanding, at the end of May a similar operation was initiated to challenge vehicles donations made without the ITCMD collection. Sefaz-SP used a cross-reference encompassing the transfer data contained in the automobile tax (“IPVA”) registration and economic-tax information provided by the Federal Revenue Service of Brazil.

We highlight that notified taxpayers must analyze the specific case to confirm if it will be necessary to carry out a self-regulation.