New taxes for brokers and fund managers

The new regulations of the National Securities Commission (CNVM) covering the collection and management of its extra-budgetary revenues may spark new controversies between the commission and the companies operating on the capital market. Both brokers and mutual fund managers say they will have to pay higher taxes to CNVM as of this year, which will eventually affect capital market investors. The main novelty is the 1% tax on the revenues obtained by the brokerage firms and by the fund management companies. They will have to pay 1% of the commissions they get from clients to CNVM, whether they turn a profit or not. The Stock Exchange and RASDAQ will have to pay a revenue tax, as well, but most of their revenues are actually commissions paid by the brokerage companies. The same will happen to the banks that provide asset depositing services to management companies. As for the fund managers, the revenue tax adds up to the 0.1% tax on the annual average value of the fund’s assets. ZF