The Personal Income Tax (IRPF) exemption is a benefit granted to retirees, pensioners, and inactive military personnel who suffer from serious illnesses, such as malignant neoplasia (cancer). This exemption applies exclusively to retirement, pension, and disability income — including supplementary benefits — but does not extend to income derived from professional activity (wages).
The primary purpose of this benefit is to reduce the hardship and ease the extraordinary financial burden faced by taxpayers due to medical treatment. The right is established in Federal Law No. 7,713/88, specifically in Article 6, Item XIV.
To obtain it, the taxpayer must approach the entity responsible for paying their benefit (such as the INSS, a state government, or a private pension fund) with a formal request and a medical report issued by an official medical service of the Federal, State, Federal District, or Municipal government, certifying the condition. However, the administrative route may impose time limitations or result in denial of the request.
For this reason, the judicial route is frequently recommended to ensure that the exemption is granted for life and to allow the recovery of IRPF amounts wrongfully withheld since the date of diagnosis, limited to the last five years. Other examples of conditions that also grant this right, as provided in Law No. 7,713/88, include severe heart disease, Parkinson’s disease, and multiple sclerosis.
The Court of Justice of the State of Goiás, in its rulings, aligns with the consolidated understanding of the Superior Court of Justice (STJ), holding that once malignant neoplasia is proven, it is not necessary to demonstrate the current presence of symptoms, a potential recurrence of the disease, or the validity period of the medical report for the retiree or pensioner to be entitled to and maintain the exemption.
The Goiás Court recognizes the treacherous nature of malignant neoplasia and the uncertainty of its return, justifying the granting of the tax benefit to promote the dignity and quality of life of the patient.
Credits: Text produced by Dr. Luis Eduardo Rocha – specialist in Tax Law.
