Natal grants a 100% discount on interest on overdue municipal debts; see how to join

Debts can be paid in up to 48 installments, with a down payment of 5% of the consolidated value of the debt. The minimum value of each installment is R$50 for individuals and R$200 for legal entities.

The discount is applied to late payment interest, not to the principal amount of the debt. The measure covers tax credits from previous years, such as Urban Land and Property Tax (IPTU) debts, in addition to credits related to urban planning and environmental infractions and non-tax credits registered in Active Debt, according to the conditions set out in the decree.

The standard establishes exceptions. Debts in judicial collection cannot be included with seized assets already destined for auction, with judicial deposits or with blocks resulting from online seizure.

Also excluded are tax replacement credits in which the tax was withheld and not paid, except when already determined in a tax assessment notice, in addition to debts from the Tax on Inter Vivos Transmission of Real Estate (ITIV) and appraisals.

The decree also provides specific rules for tax debts from the year immediately preceding the installment request. When included, these amounts can be divided into up to 12 monthly installments.

The request must be made through a specific application, according to the model approved by the Municipal Finance Department (Sefin). The taxpayer must present an identification document and provide contact details for communication and subpoenas.

In the case of legal entities, it is necessary to present a copy of the articles of incorporation and identification document of the managing partner. If the request is made by an attorney-in-fact, a power of attorney with specific powers and corresponding identification documentation will also be required.

The first installment is due within ten days after the request is formalized, without exceeding the last business day of the month in which the request was made. The rest expire on the 20th of the following months.

The installment plan can be automatically terminated when there are three outstanding installments, consecutive or not, or a delay of more than 90 days in the payment of an installment, subject to the conditions set out in the decree. In this case, the debts return to the situation before the installment payment.