Provisional Measure 1,563 was enacted as Law 9,481, published in the Official Gazette of 14 August 1997.

The law confirms that some payments to nonresidents in connection with operations carried on during 1997 are exempt from tax in Brazil. Exempt payments include certain qualifying interest, export commissions and payments in connection with the leasing of capital goods.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

For further information contact Carlos S Romero, Deloitte Touche Tohmatsu, Sao Paulo, Brazil on Tel: +55 11 257 0122, Fax: +55 11 258 8456.