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Home Announcements Withholding of “Non-Mandatory Discounts” Is Illegal

Withholding of “Non-Mandatory Discounts” Is Illegal

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Retenção na Fonte de “Descontos Não Obrigatórios” É Ilegal

The Ministry of Economy and Finance (MEF) produced a circular with No. 9/SP-MEF, dated July 17, 2017, which refers to how it intends to act to induce State employees and agents who have credits with the commercial banks to honor their commitments regarding the return of the amount to banking institutions. The circular refers to the withholding of discounts considered non-mandatory for the payment of installments of credits granted from the month of July of the current year onwards.

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