income tax severance pay received as accumulated income
A labor settlement of BRL 48,000 paid at once, covering 24 months of back overtime, is not taxed as if it were a single BRL 48,000 salary that month. The RRA regime (art. 12-A of Law 7,713/1988) divides the amount by the months it covers before applying the tax rate, which usually cuts the withheld tax substantially.
Dividing by 24 months drops the monthly base into the table's exempt bracket; taxed all at once, the same amount would land in the 27.5% bracket.
Even landing in the 27.5% bracket under both methods, dividing by 12 months still saves about BRL 10,000 in tax.
The art. 12-A §§2-3 deductions reduce the base before the division by months, which also lowers the final tax.
Accumulated Received Income is money paid at once but referring to more than one month, usually periods before the year of receipt. It is typical of court cases: back wages, social security benefits, labor awards, rent, among others. Because it arrives concentrated, it receives a dedicated tax regime, art. 12-A of Law 7.713/1988 (introduced by Law 12.350/2010), so it is not penalized by the delay in payment. Important: the mora (SELIC) interest that often comes with it does not enter this base, it is exempt from income tax under the STF's Tema 808 and must be reported separately.
Yes, when the amount is paid at once by court decision or a court-approved settlement and covers periods before the month of receipt. This is the typical case of severance pay, back overtime and wage differences recognized in a labor claim, taxed exclusively at source under art. 12-A of Law 7,713/1988.
Because the fictitious monthly base (total amount divided by the months) can fall below the current monthly table's exempt bracket, BRL 2,428.80 in 2026. An amount of BRL 48,000.00 covering 24 months, for example, produces a monthly base of BRL 2,000.00, inside the exempt bracket, even though the total looks high.
It should not. Under the STF's ruling in Theme 808 (RE 855.091/RS), late-payment interest on wages, position, role or social security benefits has an indemnity nature and is exempt from income tax. Enter only the principal amount here and treat the SELIC interest received as separate exempt income.
Educational estimate. RRA taxation requires a DIRF and withholding certificate. Consult an accountant or tax attorney.
Juros de mora (SELIC) não entram nesta base: pela tese do STF (RE 855.091/RS, Tema 808), juros de mora sobre remuneração de emprego, cargo, função ou benefício previdenciário têm natureza indenizatória e são isentos de IR. Informe aqui só o valor principal e trate os juros à parte, como rendimento isento.
Calculated under art. 12-A of Law 7.713/1988 (RRA, introduced by Law 12.350/2010) and the monthly IRPF progressive table.