The city hall of Teresina, Brazil, has suspended the collection of the IPTU tax for 2026 affecting over 365,000 properties following public outcry over significant increases in the tax.
The city of Teresina, Brazil, has announced a suspension of the IPTU (Urban Property Tax) collection for 2026, a move made public by Mayor Silvio Mendes. This suspension affects approximately 120,000 properties that are exempt from the tax, as well as 41,000 properties that had seen reductions and 204,000 properties that experienced tax increases. In light of taxpayer complaints regarding excessive increases, the decision aims to address public concerns and dissatisfaction.
Mayor Mendes emphasized the need for humility in response to criticism, asserting that the tax figures were based on the General Value Plant as mandated by law. However, he acknowledges the necessity to reconsider these values after receiving feedback from the community. He also added that individuals who have already paid excess taxes will be refunded, and he is hastily organizing a measure to ensure these refunds are processed efficiently.
As part of the resolution, the mayor is set to send an urgent decree to the Municipal Chamber by Wednesday, aiming to recalculate the basis for the IPTU tax assessment. This step is part of the city's efforts to balance legal requirements with the financial burdens being placed on property owners while maintaining public trust and compliance with local law.
