On May 20, 2015, Decree No. 8,451/2015 was published, amending Decree No. 8,426/15, which had established the collection of PIS and COFINS on financial income obtained by companies subject, in whole or in part, to the non-cumulative calculation system of such contributions.

The new decree reduced to zero the PIS and COFINS rates levied on the following financial income:

- Monetary variation in view of exchange rate, export transactions, and obligations undertaken by the legal entity, including loans and financing;

- Hedging transactions performed on the stock exchange and the like, intended to protect against risks inherent to price or rate fluctuations when the negotiated agreement relates to the taxpayer′s corporate purpose and is intended for the protection of its rights and obligations.

Regarding the first item, we point out that the new decree has not reduced to zero the monetary variations of earnings from investments made with funds from exports, maintained abroad.