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Understand when IOF tax applies in Brazil

Learn when IOF tax is charged on AstroPay transactions with BRL.

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Written by Luma Senna
Updated over 3 weeks ago

IOF (Imposto sobre Operações Financeiras) is a Brazilian tax that applies to certain financial transactions. Here is how it works with AstroPay.

When IOF is charged

  • Converting BRL to a foreign currency: IOF rate is 0%. AstroPay covers this tax.

  • Using BRL for international purchases: IOF rate is 0%. AstroPay covers this tax.

  • Converting a foreign currency to BRL: IOF rate is 0.38%. This is the only scenario where IOF is charged to your transaction.

Summary

In most cases, you pay no IOF when using AstroPay with BRL. The 0.38% rate only applies when you convert foreign currency back into BRL.

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