Retirees and pensioners need to declare as long as they comply with the rules imposed by the RFreproduction
Published 05/04/2024 05:00
Brazilian taxpayers have until May 31st to send all documentation related to income tax to the Federal Revenue Service. And this applies both to those who are still active in the job market and to retired pensioners. The tax consultant and president of Fradema Consultores Tributários, Francisco Arrighi, informs that retirees or taxpayers over 65 years of age are required to submit a declaration, with exceptions, as long as they comply with the rules imposed by the Federal Revenue Service.
Are they:
– If you have received exempt, non-taxable or taxed exclusively at source income exceeding R$200,000 per year;
– Taxable income whose sum was greater than R$30,639.90 and the sum of assets and rights exceeded the value of R$800 thousand in 2023;
– If you have gross income exceeding R$ 153,199.50 in rural activity in the year prior to the declaration
Pensioners will only be exempt from income tax if they received up to R$51,247.68.
– Pensioners will only be exempt from income tax if they received up to R$51,247.68.
The declaration can be made after downloading the program or accessing it online, both options available on the Revenue website, and opening the tab: “Taxable Income Received from Legal Entities”.
Arrighi remembers that retirees or pensioners are entitled to an extra portion of exemption. This mechanism is an additional amount that can be used to reduce the IR base, with a reduction of up to R$1,903.98 per month, including the 13th salary.
“In other words, in addition to not paying tax on the portion of their income up to the limit of the exemption range applied to other taxpayers, retirees and pensioners are exempt on an extra portion of their earnings”, he explains.
Regarding how to fill in this extra installment, Isabela Brisola, lawyer and specialist in Social Security Law, explains that these values need to be entered in the “Exempt and Non-Taxable Income” field with the code “10 — Exempt installment of retirement benefits, paid reserve, retirement and pension for declarants aged 65 or over”.
“And a question that may arise: is there the possibility of offsetting the installments of the months that exceed the limit value with those of other months, which had a lower return? The answer is: No, that is not possible”, he points out.
It is worth remembering that if the retiree or pensioner has a serious illness recognized by legislation, retirement or pension income is exempt from tax. However, it is necessary to present an expert report to the Federal Revenue Service, issued by the official medical service of the Union, the states, the Federal District and the municipalities, for proof.
“It is crucial to declare this income in the ‘Exempt and Non-Taxable Income’ section, specifying the nature of the exemption as per the law. Furthermore, medical expenses related to the illness can be deducted, providing an additional tax benefit”, explains Mozar Carvalho, lawyer specializing in Tax Law and partner at Machado de Carvalho Advocacia.
According to Carvalho, the diseases mentioned in Law 7,713 are exempt — even those contracted after retirement or retirement. These include: multiple sclerosis, blindness, leprosy, irreversible and disabling paralysis, severe heart disease, Parkinson’s disease, severe liver disease, advanced stages of Paget’s disease (osteitis deformans) and acquired immunodeficiency syndrome.
* Article by intern Rodrigo Glejzer, under the supervision of Marlucio Luna
