The Federal Court of S\u00e3o Paulo granted an injunction to suspend the additional 10% tax on the presumed profit percentages of IRPJ (Corporate Income Tax) and CSLL (Social Contribution on Net Profit) levied on S\u00e3o Paulo law firms opting for the presumed profit regime. The tax is levied on the portion of revenue exceeding R$ 5 million per year, as established by Complementary Law (LC) 224\/2025.<\/p>\n\n\n\n
The enforceability of tax credits resulting from this increase and any collection actions by the Federal Revenue Service are also suspended. An appeal may be filed with the Regional Federal Court of the 3rd Region (TRF3).<\/p>\n\n\n\n
The decision by Judge Julia Cavalcante Silva Barbosa, of the 7th Federal Civil Court of S\u00e3o Paulo, granted the request of the S\u00e3o Paulo branch of the Brazilian Bar Association (OAB) and applies to all law firms in the state until the merits of the writ of mandamus filed by the entity are judged.<\/p>\n\n\n\n
In the lawsuit (5004598-12.2026.4.03.6100), the OAB\/SP (S\u00e3o Paulo Bar Association) argued that presumed profit should not be treated as a tax benefit, but rather as a legal method for determining the tax base. According to the entity, by including this regime among the "incentives and benefits" to be reduced, the law effectively promotes an indirect increase in taxes by artificially expanding the tax base.<\/p>\n\n\n\n
Upon reviewing the request, the judge understood that Law 224\/2025 may have distorted the presumed profit regime by treating it as if it were a tax benefit, and that the system would not be subject to reduction through fiscal policy.<\/p>\n\n\n\n
\u201cBy increasing the margin of presumption and equating the presumed profit system to a tax benefit, the legislator ends up subverting the rule for calculating the tax for revenue collection purposes. There is a clear misuse of purpose,\u201d he stated.<\/p>\n\n\n\n
Barbosa also cited a precedent from the Superior Court of Justice (STJ) in repetitive case 1008, which defined that ICMS (a Brazilian state sales tax) is included in the calculation basis for IRPJ (corporate income tax) and CSLL (social contribution on net profit) when calculated under the presumed profit system. "The STJ, on that occasion, concluded that this is a simplified method of calculating IRPJ and CSLL, corresponding to an estimated value, dispensing with the formalities inherent in calculating actual profit," he explained.<\/p>\n\n\n\n
The demand for the increase is suspended until the final decision in the case. The merits of the action will still be analyzed after statements from the parties and the Federal Public Prosecutor's Office (MPF).<\/p>\n\n\n\n
In a statement, the OAB\/SP (S\u00e3o Paulo Bar Association) recommended that the application of the injunction be carried out with due caution, through an individualized technical evaluation of each specific case. Furthermore, it stated that it "will continue to monitor the issue and keep the legal profession informed about any developments.".<\/p>\n\n\n\n
The organization's president, Leonardo Sica, celebrated the decision. "With this, lawyers will be able to work paying less tax and what is fair, eliminating the excesses of our last tax reform," he declared.<\/p>\n\n\n\n
Precedent in Rio<\/strong><\/p>\n\n\n\n In a similar debate, the Union appealed to the Federal Regional Court of the 2nd Region (TRF2) and managed to overturn on Monday (March 23) a similar injunction filed by the OAB of Rio de Janeiro.<\/p>\n\n\n\n In the interlocutory appeal 5003806-52.2026.4.02.0000\/RJ, the reporting judge, Luiz Antonio Soares, granted suspensive effect to the appeal of the National Treasury, reinstating the collection. The decision considered, in a preliminary analysis, that the illegality of the increase and the concrete risk that would justify the immediate suspension of the tax requirement were not unequivocally demonstrated.<\/p>\n\n\n\n The rapporteur also highlighted that there is no acquired right to the maintenance of a tax regime and that the alteration of the presumption percentages can be carried out by complementary law. "In the case at hand, the existence of a concrete and imminent risk justifying the granting of the preliminary injunction requested by the petitioner, now the appellee, by the court of origin, has not been demonstrated," he said.<\/p>\n\n\n\n