Are you losing 15% of your offshore profits to Brazil?
Discover the CFC rules that apply in 2026.
Are you losing 15% of your offshore profits to Brazil?
Discover the CFC rules that apply in 2026.
Brazil treats your foreign company as transparent. Profits are taxed annually—even if you never touch the money. On 31 December each year, the tax base updates automatically.
15%
Flat tax rate on offshore profits for individuals, fully effective since 2024 and embedded in the 2026 tax return.
Dica
Permanent visa, work contract, or 183 days in Brazil? You’re a tax resident. Understand your status now—before the Receita Federal does it for you.
✘ Mito
Offshore companies in tax havens mean zero tax.
✓ Verdade
Brazil taxes their profits yearly, regardless of distribution.
Confirm your residency status
Determine control over the foreign company
Report profits on your 2026 tax return
What if I never receive the profits?
They are still taxed on December 31 each year, under Brazil's transparency rule.
“
The Receita Federal looks through the corporate veil—and taxes you anyway.
Don't wait for the tax hit in 2026. Plan your compliance now.