Minister Kassio Nunes Marques, of the Supreme Federal Court (STF), decided to extend from the end of this year until January 31 the deadline to approve the distribution of company profits to shareholders, in accordance with what was previously established by Law 15.270/2025, which modified the income tax rules.
The minister responded to the requests of the confederations of commerce and industry (CNC and CNI), which filed direct appeals of unconstitutionality, and the decision will be submitted to the referendum of the plenary of the STF during a virtual session scheduled for February 13 to 24, indicates the court in a press release.
The entities questioned the articles of the law which condition the exemption from income tax on the distribution of profits and dividends calculated in 2025 to the approval of this distribution before December 31. The law is the same that exempts from income tax workers who earn up to R$5,000 per month.
The system provided for by the law sanctioned by President Luiz Inácio Lula da Silva at the end of November has since encouraged a torrent of announcements of dividends and interest on company equity.
According to Itaú BBA data, Brazilian companies announced 124.1 billion reais in dividends between October and the middle of this month, including payments due before the end of 2025 and in 2026.
The minister understood, said the STF press release, that according to the Brazilian Companies Law and the Civil Code, deliberations on the balance sheet, economic results, profit attribution and dividend distribution generally take place in the first four months after the end of the financial year, and not before its end.
“According to the rapporteur, setting such a short deadline, especially given the recent publication of the law – November 26, 2025 – makes compliance with legal requirements practically unenforceable,” the STF said in the statement.
For Nunes Marques, this requirement can lead to hasty and unreliable calculations, with negative consequences both for taxpayers and for the tax administration itself.
In extending the deadline, the minister highlighted the risk of legal uncertainty and wider impacts on the economy, such as increased litigation, difficulties in tax management and increased compliance costs.
“Given this scenario, it decided to extend the deadline for another month, in order to preserve predictability and confidence in tax relations until the final judgment of the STF’s actions,” the court said.
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