The decree reduces the foreign transaction tax from 6.38% to 0% by 2029 for certain settlements of foreign exchange currency. The gradual reduction in the foreign transaction tax represents a step towards Brazil becoming a member of the OECD countries.On 16 March 2022, Brazil’s Executive Branch published Presidential Decree 10.997/2022, reducing the Brazilian financial transaction tax (IOF-FX) due on the settlement of foreign exchange currency (FX). This change is part of Brazil’s efforts to join the Organisation for Economic Co-operation and Development (OECD).Currently, the IOF-FX is levied at rates ranging from 0% to 6.38% on the gross amount of foreign...