Circular Letter CVM/SIN/SSE 04/22

SECURITIES AND EXCHANGE COMMISSION OF BRAZIL
Rua Sete de Setembro, 111/2-5th and 23-34th Floors – Center – Rio de Janeiro - RJ – CEP: 20050-901 – Brazil Tel.: (21) 3554-8686 - www.cvm.gov.br Circular Letter No. 4/2022/CVM/SIN/SSE Rio de Janeiro, December 29, 2022

To

Administrators of investment funds in general

Subject: Complementary guidelines on the incidence and collection of the inspection tax on securities markets governed by Law No. 7,940/1989.

1. We refer to Joint Circular Letter No. 2/2022/CVM/SIN/SSE, of September 20, 2022, and in particular to its items 18 and 30, which state as follows:

2. Finally, by legislative choice, the incidence of the Annual Tax was not determined for the first year for investment funds registered after the first quadrimester. Furthermore, in the case of funds registered after the first quadrimester and closed in the same year, there will likewise be no incidence of the Annual Tax.
   ...

3. For service providers who are registered after the end of the first quadrimester of each year, there is no incidence of this first Annual Tax, in accordance with the rationale already explained for investment funds in item 18 above.

4. Due to additional doubts raised by market participants regarding the interpretation of the above, it is necessary to complement the aforementioned understanding to better detail that, without prejudice to the general legislative choice not to require an annual inspection tax in the first year of operation of regulated entities registered after the first quadrimester, there is a specific exception, provided for in Article 4, § 5, of Law No. 7,940, which provides for the specific incidence of the annual tax even in the first year of registration, even if it occurred after April 30, for market participants listed in Annex II of that law.

5. Thus, the non-incidence of the annual inspection tax in the first year of registration, as exposed in items 18 and 30 of Joint Circular Letter No. 2/2022/CVM/SIN/SSE, applies only and in practice to service providers supervised by SIN and SSE provided for in Annexes I and III of said Law No. 7,940, maintaining the incidence of the tax for those participants listed in Annex II of said law.

Sincerely,

Digitally signed by
DANIEL WALTER MAEDA BERNARDO
Superintendent of Institutional Investor Supervision

Digitally signed by
BRUNO DE FREITAS GOMES
Superintendent of Securitization Supervision