Decree 7,536 amended regulations regarding Brazil's tax on financial transactions (IOF) by introducing rules for levying the IOF on securities transactions involving derivative agreements. The IOF will be charged at 1% on the "notional adjusted value" of acquiring, selling, or early termination of derivatives where the value is affected by exchange rates and increases net sold exposure. The decree defines how to calculate the notional adjusted value and net sold exposure. It allows offsets between exposures calculated by different financial institutions with client authorization. A 0% IOF rate applies where net exposure is under $10 million or for unspecified derivative agreement acquisitions, sales or maturities.