Telefônica Brasil S A : Notice to Shareholders - Deliberation of Interest on Own Capital

CNPJ MF 02.558.157/0001-62 - NIRE 35.3.001.5881-4

NOTICE TO SHAREHOLDERS DELIBERATION OF INTEREST ON OWN CAPITAL

Telefônica Brasil S.A. ("Company") announces to its shareholders that the Board of Directors, at its meeting held on March 18, 2021, deliberated the credit of Interest on Own Capital ("IOC"), related to the fiscal year of 2021, in accordance with article 26 of the Company's Bylaws, article 9 of the Law 9,249/95 and CVM's Instruction No. 683/2012, in the gross amount of R$270,000,000.00 (two hundred seventy million reais), subject to withholding tax of 15%, resulting in a net amount of R$229,500,000.00 (two hundred twenty-nine million and five hundred thousand reais), based on the balance sheet of February 28, 2021. The amount per share is described in the table below:

Amount per share (R$)	Immune or Exempt Legal Entities (gross value)	Withholding tax (15%)	Taxed Legal Entities and Individuals (Net value)
Common shares	0.16009837668	0.02401475650	0.13608362017

In accordance to the article 26 of the Company's Bylaws, such Interest on Own Capital will be charged to the mandatory minimum dividend for the fiscal year of 2021, ad referendum of the General Shareholders' Meeting to be held in 2022.

The amount of Interest on Capital per common share described in the table above may suffer future adjustments until March 31, 2021, due to possible acquisitions of shares within the Company's Shares Buyback Program.

The credit of Interest on Own Capital will be made on individual basis for each shareholder, in accordance to the shareholder registry book position by the end of March 31, 2021. After this date, the shares will be considered as "ex-Interest on Own Capital". The payment of these proceeds will be carried out until July 31, 2022, in a date to be defined by the Company's Management.

CNPJ MF 02.558.157/0001-62 - NIRE 35.3.001.5881-4

The Immune or Exempt Legal Entities, according to the current legislation, must provide proof of such condition until April 5, 2021 to the "Departamento de Ações e Custódia" of

Banco Bradesco S.A., the depositary bank, located at Cidade de Deus, s/n, Prédio Amarelo Velho, sub-solo - Vila Yara - Zip Code: 06029-900 - Osasco - SP.

São Paulo, March 18, 2021.

David Melcon Sanchez-Friera

CFO and Investor Relations Officer

Telefônica Brasil - Investor Relations

Tel: [phone]

Email:[e-mail]/ri