Home > Legal Updates > CARF cancels assessment involving tax planning with reduction of capital and return of shares abroad

CARF cancels assessment involving tax planning with reduction of capital and return of shares abroad

A civil construction company was assessed for having carried out a share sale transaction preceded by a capital reduction, with consequent repayment of the shares that would be sold to companies based in Uruguay, which ultimately figured as sellers of the equity interest . As a result of the design of the operation, the capital gain was taxed at a rate of 15% (non-resident gain), instead of 34%, as preferred by inspection.

The tax planning was understood by the fiscalization as simulation of operation of alienation of shares to the foreign company. As a result, a tax assessment notice was issued that required the positive difference of IRPJ and CSLL due on the alleged disposal operation carried out by the Brazilian holding company.

Read More