STF Extends Dividend-Approval Deadline to Jan. 31, 2026 for 2025 Exemption

Overview

• Minister Kássio Nunes Marques issued a provisional order moving to 31 January 2026 the date by which companies must approve distribution of 2025 profits to keep those payouts exempt from income tax.
• The extension stems from ADIs filed by industry and commerce confederations, with the ruling set for virtual plenary review from 13 to 24 February 2026.
• Law No. 15,270, enacted in November 2025, imposes a 10% withholding on monthly dividends above R$50,000 starting in January 2026, while preserving exemption for 2025 profits approved by the new deadline.
• The decision cited a CFC technical note and faulted Receita Federal guidance urging January–November interim balances, calling the approach legally uncertain and reliant on unaudited estimates.
• A separate request from the OAB to exclude micro and small firms under Simples Nacional from the new rules was denied in the same interim ruling.