Launched at the end of last year, the ReVar calculatora Federal Revenue and B3 program that helps calculate Income Tax on variable income, is receiving indications of losses with shares, real estate funds and agricultural funds. The procedure helps to reduce the Income Tax to be paid by those who profit on the stock market.
The indications began on the 10th and refer to the investor’s situation on December 31st. From now on, every month, investors must indicate the status of investments in shares, real estate funds and agricultural funds at the end of the previous month so that ReVar can automatically calculate the Income Tax to be paid until the last day of the current month .
In addition to accumulated losses, the investor must report the average price of shares, real estate funds and agricultural funds in their name at the end of the previous month. Each month, B3 will transfer to the Federal Revenue Service the assets of the investor who authorized the sharing of data between the Brazilian stock exchange and the Tax Authorities.
Information on accumulated losses in the variable income market is important because losses can be used to deduct income tax payments. Under current rules, IR is only charged on profits from the sale of variable income investments, at a rate of 15% when the sale occurs on a different day to the purchase and 20% in day-trade operations, when the investor buys and sells every day to pocket the profit.
Exemption
Income tax on variable income investments is only charged on sales above R$20,000 per month. Below this ceiling, profits are exempt from income tax, and losses can be used to deduct tax in later months.
If the investor sold R$20,000 worth of shares in one month (all sales added together) and made a profit of R$5,000, he will not need to pay Income Tax on this operation. This is because sales in the period did not exceed R$20,000. However, if you sold R$11,000 on one day and R$10,000 on another, with a profit of R$500 and R$300, respectively, you will have to pay Income Tax, even if the profit is lower than in the first case.
By law, IR on capital gains on variable income must be paid by the end of the month following the sale. This way, the ReVar calculator will make calculations from the 10th day of each month based on the situation at the end of the previous month.
Automatic counting
The calculator is available on Federal Revenue Virtual Service Center (e-CAC). Based on information from brokers, the new tool will load data on operations carried out by investors directly from B3 to determine the net gains or losses resulting from the operations. If there is a profit and tax is charged without withholding at source, ReVar will calculate the tax due by generating the Federal Revenue Collection Document (Darf) for payment.
The consultation is carried out with prior authorization from the investor. The applicator will only need to enter the B3 Investor Area and authorize the data to be shared with the Revenue, in line with all recommendations of the General Data Processing Law. The calculation and generation of Darf will be done directly in e-CAC.
In addition to shares and real estate funds, the calculator can be used to calculate taxes on gains with Agribusiness Funds (Fiagros), ETF Funds, which replicate a basket of investments on the stock exchange as if it were a share, and on BDRs, certificates that represent shares issued by foreign companies traded on the B3 trading floor.
Improvements
According to Revenue and B3, the calculator should benefit around 4 million Brazilian investors. Gradually, other facilities will be implemented, such as the calculation of reverse splits, payment of earnings and other corporate events.
Another planned improvement, but with no date yet to come into effect, is the automatic entry of calculator data into the pre-filled Income Tax declaration. Revenue and B3 also develop a resource so that the tool can be used by investors operating in the futures market.
Step by step
• 1st step: The investor must access ReVar in the B3 Investor Area and authorize data sharing. (Services >> IR Calculator >> ReVar – Federal Revenue).
• 2nd step: The investor will be sent to the next step, which takes place on the Federal Revenue Service’s e-Cac portal. (Declarations and Statements >> Calculate Variable Income Tax).
At this stage, the investor must inform the average price of the assets in their portfolio and inform accumulated losses (if any).
• 3rd step: After completing the initial position, the system starts to display the complete menu with the tabs: Home, Initial Position, Pending Resolution, Events, Stock and Operations Statement.
Each month, a summary of the results of operations is presented, informing whether or not there is tax to be collected.
Taxes lower than R$10 will be added over the next few months until this minimum amount for generating Darf is reached.
• 4th step: As soon as the investor clicks on the “Generate Darf” button, the system will open a new tab in the browser with the payment document, with barcode and QR code for payment via Pix.
The IRS offers a complete manual for using the calculator.