Recent changes in Brazil's federal tax framework have raised an important point of attention for companies taxed under the Presumed Profit (Lucro Presumido) regime.
Complementary Law No. 224/2025 introduced several relevant changes to federal taxation. One of the most notable concerns the increase in the presumed profit percentages, based on the assumption that the Presumed Profit regime constitutes a "tax benefit".
However, this premise is already being challenged before the courts. In mid-February 2026, the Federal Court of Rio de Janeiro granted an injunction suspending the application of the additional 10% increase on the IRPJ and CSLL presumed profit percentages for a company operating under the Presumed Profit regime.
Key Legal Reasoning from the Court
The court reasoned that the Presumed Profit regime does not represent a tax incentive or benefit, but rather a legally established method for determining the taxable base, expressly provided for in Brazilian tax legislation. According to the decision, treating the Presumed Profit regime as a tax benefit raises significant legal concerns and could lead to the taxation of income that does not actually exist, potentially conflicting with:
- The constitutional concept of income
- The principle of ability to pay
- The principle of legal certainty
The court also emphasized that, depending on a company's economic reality, the Presumed Profit regime may in some cases generate a higher tax burden than the Actual Profit (Lucro Real) regime, further undermining the argument that it represents a preferential tax treatment.
Action Point: Beyond this initial decision, other legal actions are already underway addressing the same issue. The matter has also reached the Brazilian Supreme Court (STF) through Direct Action of Unconstitutionality (ADI) No. 7936, suggesting that litigation on the subject is likely to intensify. For companies currently operating under the Presumed Profit regime, this may be an appropriate time to consider filing a judicial claim, particularly as the first quarter is nearing its end and the increased tax burden will already begin to impact payments due in April.
