The TSE ruled on August 18 that the PT’s action to recalculate the electoral fund distribution was closed after the party dropped the suit. The court’s plenary unanimously accepted the withdrawal, removing a legal obstacle that had delayed the release of public money for the October 2026 elections.
Background on the electoral fund
Public campaign financing in Brazil comes from the Special Campaign Financing Fund (FEFC). For the 2026 election cycle, the FEFC totals R$ 4.96 billion. The law divides this amount: 48 % based on the number of seats each party holds in the Chamber of Deputies, 35 % according to the 2022 federal deputy vote share, 15 % reflecting Senate seats, and the remaining 2 % split equally among all registered parties.
PT's argument and withdrawal
The PT had asked the TSE to revisit the calculation of the 48 % Chamber‑seat share, arguing that deputy Luiz Paulão (PT‑AL) should be counted despite losing his mandate in a 2022 vote recount. The party claimed a May decision by former Supreme Federal Court minister Dias Toffoli, which suspended the cassation process against Paulão, required his inclusion. After internal deliberations and a July ruling by TSE president Kassio Nunes Marques that Toffoli’s decision only paused the mandate process—not ordered a new recount—the PT decided to drop the action.
Impact on party allocations
With the case resolved, the fund distribution stands as previously calculated. The PL (Liberal Party) receives the largest portion, R$ 881.7 million. The PT follows with R$ 615.4 million, and União Brasil gets R$ 526.2 million. These figures reflect the seat and vote tallies from the 2022 elections, as validated by the TSE in June.
Context on Paulão’s case
Paulão had taken his Chamber seat after the Alagoas Regional Electoral Court (TRE‑AL) removed PP candidate João Catunda for alleged illicit vote buying financed by the Maceió Health Workers Union. The TSE’s earlier suspension of the cassation process, requested via a Toffoli decision, did not alter the final seat count, according to the court’s minister Estela Aranha, who noted that the legal situation of the process, not administrative recounts, determines eligibility.