The Brazilian government has announced that President Jair Bolsonaro issued Decree No. 10,797 on 16 September 2021, which provides for a temporary increase in the financial transactions tax (IOF) rate to fund the expansion of the Auxílio Brasil welfare program. The program provides aid for Brazilians impacted by the COVID-19 pandemic. With effect from 20 September to 31 December 2021, the decree increases the IOF daily rates on credit transactions from 0.0041% to 0.00559% for legal entities, which equates to an increase in the annual rate from approximately 1.50% to 2.04%. For individuals, the decree increases the IOF daily rates from increases from 0.0082% to 0.01118%, which equates to an increase in the annual rates from approximately 3.0% to 4.08%.