Joint Ordinance RFB/PGFN No. 6/2026: Regulation of Federal Legislation Applicable to Habitual Tax Debtors

Joint Ordinance RFB/PGFN No. 6, dated March 26, 2026, regulates the treatment adopted by the Brazilian Federal Revenue Service (RFB) and the Office of the Attorney General of the National Treasury (PGFN) for taxpayers classified as “habitual tax debtors.”

This alert outlines the key aspects of the regulation and its potential impact on taxpayers’ rights and interests.

What Is a Habitual Tax Debtor?

The concept of a habitual tax debtor was established by the Taxpayers’ Bill of Rights (Complementary Law No. 225/2026) as “a taxpayer whose tax behavior is characterized by substantial, repeated, and unjustified tax delinquency.” However, certain aspects still required further regulation to address systematic noncompliance.

Criteria for Classification

Substantial Delinquency: Tax liabilities in an irregular status (unpaid, unsecured, not subject to a suspension of enforceability, and not challenged based on a relevant legal controversy or a legal issue under review in the repetitive appeals system, and not upheld by a casting vote), whether or not enrolled in active debt collection, in an amount equal to or greater than BRL 15 million and exceeding 100% of the taxpayer’s known assets (total assets reported in the most recent financial statements filed through the ECF/ECD systems).

Repeated Delinquency: Failure to pay taxes for at least four consecutive assessment periods or six non-consecutive assessment periods within a twelve-month period.

Unjustified Delinquency: Absence of valid reasons for nonpayment, such as ongoing debt negotiations or the existence of sufficient assets to secure the liabilities.

Tax Liability Responsibility: A taxpayer may also be classified as a habitual tax debtor if it has recognized tax liability in administrative or judicial proceedings and is a related party to a company that has been deregistered or declared inactive within the previous five years and holds irregular tax liabilities, or to another entity already classified as a habitual tax debtor.

Administrative Procedure for Classification

Initiation: The PGFN is responsible for cases involving debts already enrolled in active debt collection, while the RFB is responsible for debts that have not yet been enrolled or for mixed situations.

The PGFN and the RFB may establish a channel for receiving substantiated reports identifying taxpayers that meet the criteria for classification as habitual tax debtors.

Procedure: The taxpayer must be notified in advance, with a description of the factual and legal grounds supporting the proposed classification. The taxpayer will have 30 days to pay, negotiate, settle in installments, or demonstrate the existence of sufficient assets exceeding the amount of the debt.

Right to Defense: Within the same 30-day period, the taxpayer may challenge the classification, with suspensive effect, except in cases involving proven fraud or unlawful conduct. If the defense is rejected, an administrative appeal may be filed within 10 days, also with suspensive effect. No taxpayer may be subject to more than one administrative proceeding for classification as a habitual tax debtor.

Public Disclosure: The classification will be recorded in the taxpayer’s CNPJ registration, included in the Federal Delinquent Debtors Registry (CADIN), and disclosed on a public list of habitual tax debtors.

Consequences of Classification

Taxpayers classified as habitual tax debtors will be subject to the following restrictions:

• Ineligibility for tax incentives, amnesties, or tax remissions;
• Prohibition from entering into Tax Settlement Agreements (Transação Tributária);
• Inability to use tax loss carryforwards or negative CSLL tax bases to offset tax liabilities;
• Prohibition from participating in public procurement procedures or entering into government contracts;
• Ineligibility to file for judicial reorganization or continue ongoing reorganization proceedings, potentially resulting in conversion into bankruptcy proceedings; and
• Deregistration of the taxpayer’s CNPJ and inclusion in public debtor registries such as CADIN.

The classification may be reviewed if the outstanding liabilities are settled or secured by known assets equal to or greater than the amount of the debt.

Practical Implications

Classification as a habitual tax debtor carries significant restrictions and creates new challenges in the management of tax liabilities and tax delinquency. The regulation limits access to mechanisms traditionally used by companies facing financial difficulties and tax debt burdens, even where the period of noncompliance might previously have been considered relatively short.

Recommended Actions

• Monitor and manage tax liabilities proactively to avoid classification as a habitual tax debtor, including through specialized advice regarding administrative challenges or incentive-based installment programs;
• Regularize outstanding liabilities through installment agreements, tax settlements, or deposits before receiving notice of a classification proceeding; and
• Monitor future regulations on habitual tax debtors at the state and municipal levels.

Final Remarks

Joint Ordinance RFB/PGFN No. 6/2026 reinforces the government’s efforts to combat systematic tax delinquency through concrete measures that, in extreme cases, may jeopardize the continuity of business operations. Tax compliance is therefore more important than ever to avoid classification as a habitual tax debtor and the significant consequences associated with such designation.