Last reviewed - 28 November 2023

Brazil is the world’s fifth largest country. With an estimated population above 217 million, it is one of the world’s most populous countries, after China, India, the United States, Indonesia, and Pakistan.

Brazil is divided into 27 federal units (26 states and the Federal District), including Brasilia as its capital. The official language of Brazil is Portuguese, and the currency is the real (BRL).

The Brazilian economy is considered large by almost any standard. Brazil is the eighth largest economy in the world in terms of gross domestic product (GDP) derived from purchasing power parity (PPP) calculations.

Brazil has a diversified economy with strong companies in the agricultural, commodities, industrial, and service sectors; it has one of the biggest middle classes.

Recent years have been marked by significant economic and political challenges in Brazil. However, despite being considerably affected by the COVID-19 pandemic in terms of economic indicators, its economy ended 2021 on a stronger footing than expected. GDP returned to growth in the final two months of the year, even as supply shortages were still hitting manufacturers.

Brazil implemented a labour reform in 2017, as well as a social security/pension reform in late 2019. Broader tax reform has been under discussion for the last three years, and, although the last bill was not approved, a tax reform is still being contemplated and expected to be implemented in the foreseeable future.

Tax reform has been enthusiastically discussed in order to reform the Brazilian tax system, including direct and indirect taxes at all federative levels. On the direct tax front, a reduction of the corporate income tax (CIT) is expected, while a withholding tax (WHT) on dividends may be created. For indirect taxes, a more streamlined approach, consolidating the various taxes and contributions, is being discussed. Brazil has recently approved new transfer pricing rules, aligned with the Organisation for Economic Co-operation and Development (OECD) transfer pricing guidelines and, therefore, based on arm`s-length principles. 

PwC came to Brazil in 1915. We now have around 4,000 professionals in 15 offices located in almost every region of Brazil. PwC Brazil offers a network of experienced professionals who have expertise in specific economic sectors of industry and accumulated knowledge of business to assist our clients grow and prosper.

PwC's awarded tax team provides tailored solutions for clients doing business in Brazil, who receive trusted advice about the complex local corporate tax environment.

Quick rates and dates

Corporate income tax (CIT) rates
Headline CIT rate (%)

34 (composed of IRPJ at the rate of 25% and CSLL at the rate of 9%).

Corporate income tax (CIT) due dates
CIT return due date

Last working day of July.

CIT final payment due date

Generally, by the last working day of March of the subsequent year (when IRPJ and CSLL are calculated annually). When IRPJ and CSLL calculations are made on a quarterly basis, the taxpayer can pay the taxes in one single quota, by the last working day of the subsequent month to the end of the quarter, or in three instalments, the first one starting from the subsequent month to the end of the quarter.

CIT estimated payment due dates

Normally monthly instalments, but there is an option of quarterly instalment.

Personal income tax (PIT) rates
Headline PIT rate (%)


Personal income tax (PIT) due dates
PIT return due date

Last working day of April

PIT final payment due date

Last working day of April

PIT estimated payment due dates

By the last working day following the month in which the income is received, credited, or paid, whichever occurs first.

Value-added tax (VAT) rates
Standard VAT rate (%)

Excise federal tax (IPI): Normally between 5% and 30%;

Federal VATs (PIS/COFINS): Generally a combined rate of 3.65% (cumulative) or 9.25% (non-cumulative);

State VAT (ICMS): Normally between 17% and 20% (lower rates apply to inter-state transactions, varying between 4%, 7%, and 12%);

Municipal Service Tax (ISS): 2% to 5% (cumulative).

Withholding tax (WHT) rates
WHT rates (%) (Dividends/Interest/Royalties)

Resident individuals: NA / 15 to 22.5 / NA;

Non-resident: 0 / 15 / 15;

Non-resident in tax haven countries: 0 / 25 / 25.

Capital gains tax (CGT) rates
Headline corporate capital gains tax rate (%)

Resident: 34 for legal entities (considered as part of regular income and subject to regular CIT rates);

Non-resident: 15 to 22.5 (WHT);

Non-resident in tax haven countries: 25 (WHT).

Headline individual capital gains tax rate (%)


Net wealth/worth tax rates
Headline net wealth/worth tax rate (%)


Inheritance and gift tax rates
Headline inheritance tax rate (%)


Headline gift tax rate (%)


NA stands for Not Applicable (i.e. the territory does not have the indicated tax or requirement)

NP stands for Not Provided (i.e. the information is not currently provided in this chart)

All information in this chart is up to date as of the 'Last reviewed' date on the corresponding territory Overview page. This chart has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this chart without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this chart, and, to the extent permitted by law, PwC does not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this chart or for any decision based on it.