Federal tax collections are highest for October, driven by IOF | Brazil

Federal tax collections reached R$261.9 billion in October, a real increase (after inflation) of 0.92% compared to the same month in 2024. This was the highest tax collection for the month in the historical series, driven by the IOF result.

There were no unusual factors in October, according to the Federal Revenue Service. Atypical factors are recorded by tax authorities when they change the dynamics of collections for the month, either up or down.

Without correcting for inflation, revenues increased 5.64% in October. The data was released on Monday (24) by the Federal Revenue Service.

So far this year, revenue has reached R$2.367 trillion – a real increase of 3.20% compared to the same period last year. The only unusual factor, which positively affected revenues, was the revenue of R$3 billion in IRPJ and CSLL, taxes that apply to legal entities.

Considering revenues managed by the Federal Revenue Service only, there was a real increase of 4.74% in October, totaling R$246.952 billion. In the year, the total amount managed amounted to R$2.263 trillion, a real increase of 4.17%.

Special revenues of other federal bodies amounted to R$14.957 billion last month, a real decrease of 37.02%. In the year, revenues from other entities amounted to R$103.744 billion, a real decrease of 14.20%.

The federal government failed to collect R$101 billion in the ten months of this year due to the tax break. This figure represents a decrease of R$ 1.7 billion compared to the same period in 2024.

In October, the total amount of exemptions reached R$10 billion, which is R$101 million less than in October last year.

The sources of the federal government’s exemptions this year were: salaries (R$13.6 billion); Assumed profit (R$1.5 billion); Charitable bodies – CEPAS (R$1.2 billion); Public transportation (R$ 580 million); And the basic basket (580 million Brazilian reals). The total item “Others” amounts to R$ 83.4 billion.

Total collection of taxes on financial operations (IOF) reached R$8.1 billion in October this year, a real increase of 38% compared to the same month last year.

In the middle of this year, the Executive increased several IOF rates to achieve the fiscal target for this year and especially for 2026, a decision that was questioned by the National Congress, but confirmed by the Supreme Federal Court (STF).