RFB’s Private Ruling confirms that most taxes are not payable on commissions to foreign agents

Written by | Contracts, Tax and Customs

On 10 December 2017, Brazil’s Federal Revenue Department’s (“RFB‘s”) Private Ruling DISIT/SRRF06 6,603/2017 was published addressing the applicable taxes on commissions payable to foreign agents of Brazilian companies. The ruling confirmed that:

For the benefits above to apply the commissions must be for export sales and be registered on the export registration document (registro de exportação, known as the “RE”).

Note that in certain circumstances the benefits may be available for market research conducted abroad, foreign trade fairs outside of Brazil and advertising published in other countries.

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Last modified: March 20, 2019