Income Tax on FIIs: Complete Guide
March 15, 2026
FII taxation: what you need to know
Dividends: EXEMPT - Individuals don't pay income tax on FII dividends - Conditions: fund with 50+ shareholders, traded on exchange, you with <10% of shares - Even though exempt, must be declared in annual tax filing as "Exempt Income"
Capital gains: 20% - If you sell shares for more than purchase price, pay 20% on profit - No exemption for sales below R$20,000/month (unlike stocks) - Tax must be paid via DARF by the last business day of the month after sale - DARF code: 6015
Come-cotas: FIIs DON'T have come-cotas (unlike traditional investment funds)
Average price: - To calculate capital gains, you need the average purchase price - PaxMoney automatically calculates the adjusted average price for subscriptions, splits, and bonuses - Keep detailed records of all operations
In annual tax filing: 1. Declare shares under "Assets and Rights" (code 73) 2. Declare dividends received under "Exempt Income" 3. Declare capital gains under "Variable Income"
PaxMoney keeps complete history of purchases, sales, dividends, and average price — greatly simplifying tax filing.