The Brazilian government issued a release on 1 May 2024 declaring that the President Luiz Inácio Lula da Silva had signed Law 14,848/2024; converting Provisional Measure No. 1.206 of 6 February 2024 into law. This provides for the amendments to the monthly individual income tax brackets/rates, which go into effect in February 2024.
The monthly individual income tax brackets/rates are:
| Monthly individual income tax brackets | Rates |
|---|---|
| up to BRL 2,259.20 | 0% |
| from BRL 2,259.21 to 2,826.65 | 7.5% |
| from BRL 2,826.66 to 3,751.05 | 15.0% |
| from BRL 3,751.06 to 4,664.68 | 22.5% |
| over BRL 4,664.68 | 27.5% |
Starting from 1 May 2024, incomes up to BRL 2,864 per month will not be subject to income tax. This exemption threshold will be raised to BRL 5,000 at the end of the current presidential term.
