Brazil joined Common Reporting Standard in 2018
Brazil to join CRS. BCC UK magazine. Jan.2018
Click on the above article which was published in the Brazilian Chamber of Commerce (UK) magazine at the beginning of 2018.
It provides a concise explanation of the CRS and how will affect Brazilian residents – including expatriates – who are holding overseas assets.
Key excerpts:
“In 2016 the estimated value of undeclared overseas assets held by Brazilian residents was a staggering R$ 400bn. The RFB has one of the most technologically advanced cross- referencing systems in the world – and so the government, suffering from a severe budget deficit, can depend on the sheer might of the RFB machinery.”
“Individuals, who believe they are in an irregular fiscal position are advised to seek professional tax advice immediately instead of procrastinating or merely hoping that they will be not be identified via the information exchanges. Inaction is only more likely to result in more severe penalties being imposed in the future, with many tax lawyers believing that the RFB will impose fines ranging from 80% to 225% on the total value of an individual’s undeclared overseas assets.”
Image credits:
Illustration of calendar schedule planning on computer from rawpixel.com
2018 graphic – Mohamed Hassan at Pixabay.com
May 13, 2019 @ 1:03 pm
Thanks, a comprehensive summary. It will take years for the government to analyze all of the information and contact people who have not filed correctly (or not filed at all).
May 13, 2019 @ 2:23 pm
Good point Alfredo, I am sure the tax authorities have their hands full – although they benefit from having sophisticated technology for cross-referencing tax/asset statements. Only time will tell how they prioritise and work through the plethora of data received from other countries.