Response to Inquiry no. 59/14, rendered by the General Tax Coordination (“Cosit”) was published on Mar.10, 2014, establishing the position that there is no IOF/Credit charged on credit right assignment transactions in which the Financial Institution is the assignee, except in the event the transaction is characterized as a discount of securities. 

In the case under analysis, it was found that credit right assignment transactions to financial institutions, granted by construction companies to individuals, relative to purchase and sale agreements of residential properties, are exempt from the IOF/Credit levy, due to the provision in article 1 of Law Decree no. 2.407, dated January 5, 1988.