Cesar Peres Dulac Müller logo

CPDMA BLOG

Category:
Date: November 23, 2021
Posted by: CPDMA team

The use of private pension plans as instruments of tax and succession planning

In the case of private pension plans, two different types of plans that can be contracted by individuals in Brazil are commonly referred to. The Vida Gerador de Beneficios Livres (VGBL) and the Plano Gerador de Benefícios Livres (PGBL) are available to investors and have different characteristics that must be carefully evaluated at the time of hiring. Each of these types of plans has advantages and disadvantages that must always be considered based on the objectives of the person who will be hiring them.

The PGBL plan is characterized by the fact that it is a deductible expense when calculating the Individual Income Tax (IRPF). Up to 12% of the taxable income amount can be deducted from the amounts paid to the PGBL, thus reducing the amount of IRPF payable annually. As for the final taxation, Income Tax is levied on the redemption of the total value of the investment, that is, on the total amount invested together with the income for the period. PGBL is considered a supplementary pension plan.

In turn, the VGBL plan does not constitute a deductible expense in the calculation of the IRPF, but has the advantage of the fact that the Income Tax on redemption is levied only on the capital gain of the application, and not on the entire investment. Another outstanding feature of the VGBL is the possibility of appointing heirs who will receive the accumulated amount in the event of the death of the plan holder. Due to this characteristic, VGBL is considered a life insurance and not a supplementary pension.

Recently, the Superior Court of Justice ruled that the VGBL amounts paid to the heirs do not have the characteristic of inheritance, but of life insurance, which is why they should not be taxed by the tax levied on the transmission carried out as a result of donation or caused by death (ITCMD). In some states, this tax reaches rates of 8% on total assets.

According to the STJ's understanding, VGBL is life insurance, not being subject to the insured's debts, nor being considered inheritance for all legal purposes, as provided for in article 794 of the Civil Code. Thus, not being an inheritance, it is excluded from the ITCMD calculation basis.

Faced with such a scenario, individuals wishing to carry out tax and succession planning must avail themselves of the possibilities of using the PGBL and VGBL pension plans, according to their objectives and investment possibilities.

On the one hand, the PGBL has the advantage of allowing deductions from the IRPF, reducing the tax payable annually. An important option for those who, in life, want to carry out tax planning and reduce the amounts of tax payable annually; on the other hand, the VGBL constitutes an important tool for succession planning, allowing the heirs to leave tax-free resources.

Therefore, it is important to carry out studies and develop strategies for adequate tax and succession planning, in which private pension plans will play an important role. The options available in Brazil allow for both tax planning and succession planning, allowing investors to find the best option in line with their medium and long-term interests.

Source: Wagner Arnold Fensterseifer.

Return

recent posts

Extinção de sociedade limitada e a responsabilidade dos sócios

O processo de extinção de uma sociedade limitada passa por três etapas, sendo a primeira delas a Dissolução, seguida da Liquidação e por fim, a Extinção. A fase de Dissolução, podendo ser parcial ou total (para o fim de extinção, ocorre a dissolução total), pode-se dizer que é o momento em que os sócios manifestam […]

Read more
CARF Decide que demora na integralização do AFAC não descaracteriza operação e afasta incidência de IOF

A Terceira Turma da Câmara Superior de Recursos Fiscais (CARF), por voto de qualidade, entendeu que a demora na integralização do capital social nas operações de Adiantamento para Futuro de Aumento de Capital – AFAC não caracteriza a operação como mútuo e, com isso, afasta a incidência de IOF. O AFAC é uma operação que […]

Read more
Philco é processada por suposta imitação de trade dress de batedeiras

A multinacional Whirlpool, dona da KitchenAid e diversas outras marcas famosas no segmento de eletrodomésticos como Brastemp e a Consul, está processando a Philco por concorrência desleal e supostos ilícitos contra propriedade industrial da linha de batedeiras “Artisan” da KitchenAid. A ação tramita na 2ª Vara Empresarial e de Conflitos de Arbitragem de São Paulo, […]

Read more
The distribution of profits by companies undergoing judicial reorganization

Não são raras as vezes que podemos observar empresas cujos sócios possuem um baixo pró-labore e têm a complementação de seus rendimentos por meio de antecipação dos dividendos. A prática, [1] contudo, não se mostrava alinhada com os preceitos da recuperação judicial e o estado de insolvência das devedoras, uma vez que os sócios estariam retirando os […]

Read more
The possibility of attachment of the guarantor's family property

Recently, the Federal Supreme Court (STF) judged an Extraordinary Appeal, submitted to the rite of general repercussion, where by a majority of votes it understood to allow commercial property lessors to pledge the guarantor's family property to guarantee the receipt of rents not paid by the lessee. In his vote, the rapporteur, Minister Alexandre de Moraes, asserted […]

Read more
Musical parodies do not need to mention the author of the original work, decides STJ

A few days ago, the STJ released the result of a judgment promoted by the Court, which discussed the need to mention the author of the original work when making and disseminating a parody, in the light of copyright. The Superior Court of Justice granted the Special Appeal filed by Rádio e Televisão […]

Read more
crossmenuchevron-down
en_USEnglish
linkedin Facebook pinterest youtube lol twitter Instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter Instagram