Treasurer Paying Overseas Suppliers: Stablecoin FX Through an API Without IOF on Every Remittance in Brazil
Why stablecoin FX through the Crown FX API carries no FX IOF on treasury remittances, and what the treasury should validate.
In operations through the Crown FX API there is no FX IOF, because virtual assets are traded rather than foreign currency and no effective conversion of currencies takes place. It is non-incidence, not exemption.
What changes in a remittance. Traditional FX bears IOF of up to 3.5%. Through the API the treasury sees the complete spread in the quote and executes at the locked price; FX IOF is not part of the cost.
What the treasury validates
- The tax framework with the company’s tax adviser: Crown gives no tax, legal or financial advice.
- The transaction history by API, for tax reconciliation.
- The ceiling of US$ 100,000 per payment operation, inside applicable operating limits.
See API or OTC desk, integrating a BRL stablecoin by API and real-time BRL settlement for ERPs.