REIT Capital Gains Tax

Income tax on Brazilian REITs (FIIs)

In Brazil, FII dividends paid to individuals come tax-free (Law 11.033/2004, art. 3, III), as long as the fund has at least 50 shareholders, trades on B3, and you hold under 10% of it. That exemption is on the table in the 2025–2026 tax reform, where rates of 5% to 15% have been floated. Capital gains on selling shares are a different story: they always pay a flat 20% on profit, and the R$ 20,000/month break that covers stocks does nothing for FIIs. So if you buy 50 shares at R$ 100 and sell at R$ 115, that's R$ 750 of profit and R$ 150 in tax, paid via DARF code 6015 by the last business day of the following month.

Applications

Used to compute monthly DARF for FII share sales, plan tax-loss harvesting (FII losses can only offset FII gains — never stocks or ETFs — and carry forward indefinitely), and prepare the annual IRPF return where dividends go under "Rendimentos Isentos" code 26 and capital gains are reported in the GCAP program before being imported.

FAQ

Does the R$ 20,000 monthly exemption apply? No. That rule is specific to stocks (ações). Every FII sale at a profit triggers 20% IR, regardless of amount.

Can I offset losses against stock gains? No. FII losses only offset FII gains, in the same month or carried forward indefinitely until consumed.

When is the DARF due? By the last business day of the month following the sale, with code 6015. Late payment accrues Selic interest plus a 0.33%/day fine capped at 20%.

Will the dividend exemption end? Possibly. Multiple bills in 2025–2026 proposed taxing FII dividends. Until enacted, the exemption holds — but model long-term plans with a margin of safety.