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ITCMD Calculator: Estimate Your Inheritance Tax in Brazil

Q: How did LC 227/2026 change ITCMD rates?

Progressive ITCMD is no longer optional. EC 132/2023 made it mandatory (CF art. 155, §1º, VI, in force since 21 December 2023), and Complementary Law 227/2026 — published 14 January 2026 and in force from publication — requires rates to be progressive by the value of the share, legacy or gift, applied band by band (art. 156). The complementary law does not itself change any state's rate: each state must legislate its own schedule, and an increase is subject to the constitutional timing rules.

Calculate your estimated ITCMD liability based on estate value, state, and relationship to the deceased. Updated for the LC 227/2026 progressive rate reform.

Calculate Your Estimated ITCMD

Disclaimer: This calculator provides estimates only. Actual ITCMD may vary based on state-specific exemptions, deductions, the date of death, and the type of assets being transferred. São Paulo's flat 4% is taken from Lei estadual 10.705/2000, art. 16 (redação da Lei 10.992/2001), checked 13 September 2026. Every other state's bracket in this tool is an indicative 2026 reading that was not re-verified against that state's own law in the latest review — confirm the current rate in the state that will assess your estate. Consult a qualified attorney for precise calculations.

How This Calculator Works

This calculator applies indicative ITCMD rates for each Brazilian state as of 2026. Progressivity became compulsory with EC 132/2023 (CF art. 155, §1º, VI) and Complementary Law 227/2026, published 14 January 2026 and in force from publication. Note carefully what that does and does not mean: the complementary law obliges every state to adopt a progressive schedule, but it does not change any state's rate by itself — each state has to legislate, and a rate increase is subject to the constitutional anterioridade rules.

Each state sets its own rates up to the national ceiling fixed by Senate resolution — currently 8%, under CF art. 155, §1º, IV. The ceiling is a Senate act, not a figure written into the Constitution. São Paulo still charges a flat 4% (Lei estadual 10.705/2000, art. 16, as amended by Lei 10.992/2001, in force since 1 January 2002; checked 13 September 2026) and must replace it with a progressive schedule. The brackets shown for the other states are indicative readings of their published schedules and were not re-verified state by state in the latest review.

The calculator uses a simplified model that applies a blended effective rate based on the estate value and state selection. For states with progressive brackets (RJ, SC, RS, BA, DF), higher estate values result in higher effective rates. The relationship field is included for informational purposes, as some states offer reduced rates or exemptions for direct-line heirs.

Key factors not captured by this calculator include: state-specific exemption thresholds (many states exempt small estates below a certain value), deductions for debts and funeral expenses, special treatment of rural property, foreign-situs assets and trusts, and ongoing legislative change as each state legislates its own progressive schedule under LC 227. Basis and date: São Paulo 4% verified 13 September 2026; all other state brackets are indicative and unverified against the state's own law. Confirm the rate with the state that will assess the estate before relying on any figure here.

Frequently Asked Questions

What is ITCMD and who pays it?

ITCMD (Imposto sobre Transmissao Causa Mortis e Doacao) is Brazil's inheritance and gift tax. It is paid by the heir or donee on assets transferred through inheritance or donation. Each Brazilian state sets its own rate, up to the national ceiling fixed by Senate resolution (currently 8%) under CF art. 155, §1º, IV. The tax applies to real property located in the state, movable assets where the probate is processed, and — since EC 132/2023 and LC 227/2026 — assets located abroad when the deceased was a Brazilian resident.

How did LC 227/2026 change ITCMD rates?

Progressivity became mandatory with EC 132/2023 (CF art. 155, §1º, VI, in force 21 December 2023). LC 227/2026 — published 14 January 2026 and in force from publication (art. 182, III) — carries that into the national general rules: rates must be progressive by the value of the share, legacy or gift, applied band by band (art. 156). Two things are often merged and should not be: the complementary law is in force, but it does not by itself change any state's rate. Each state must legislate its own progressive schedule, and a rate increase is subject to the constitutional anterioridade rules. LC 227 also settled state jurisdiction over foreign-situs assets and foreign donors (arts. 158–159).

Does ITCMD apply to foreign assets owned by a Brazilian resident?

Yes. Since EC 132/2023 (art. 16) and now under LC 227/2026 (arts. 158–159, with incidence in art. 148 §1º), Brazilian states have jurisdiction over ITCMD where the donor, the deceased or the assets are abroad. Foreign trusts are expressly within the charge (arts. 147, 148 §1º, 151), with the taxable event at the change of title to the beneficiary or the settlor's death, whichever comes first. This matters for expats and binational families with assets in several countries, and Brazil has no inheritance or gift tax treaty with the United States, so double taxation has to be managed through planning and unilateral credits rather than a convention.

Plan Ahead, Save on Taxes

With proper estate planning, it may be possible to reduce your ITCMD liability through legal structures, timing strategies, and cross-border optimization. Talk to our team.

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