On Saturday, September 7, the Mato Grosso do Sul Court of Justice (TJMS) rejected an appeal by the Campo Grande city administration concerning a preliminary injunction that secures a 10% discount for upfront payment of the property tax (IPTU) and caps the tax increase at 5.32%. The municipal government argued that the injunction might have a financial impact on public finances. However, presiding judge Alexandre Branco Pucci concluded that the city did not demonstrate urgency in their appeal and there was no sufficient reason to address the matter over the weekend, outside of regular court hours.

The preliminary decision that granted the 10% discount originated from a legal action brought by the Order of Brazilian Lawyers of Mato Grosso do Sul (OAB-MS), which sought to challenge the municipal tax policy. The court's ruling only partially favored the OAB-MS, denying their request to reinstate a 20% discount for early payment that was in effect in 2025. Judge Pucci noted that the discounts provided are classified as "financial benefits" rather than established rights for taxpayers, thus reflecting the court's approach to tax governance and public revenue management.

This ruling underscores the tension between municipal revenue strategies and taxpayer relief measures. The limitation on tax increases and the continued discount serve to highlight local government challenges in balancing fiscal responsibilities with community welfare. For taxpayers in Campo Grande, these decisions have direct implications on their financial obligations regarding property taxes, delineating the ongoing debate surrounding municipal taxation policies and their impacts on residents' economic conditions.