Published on April 30, 2023, Provisional Measure No. 1.171 brought several new tax rules for residents in Brazil who earn foreign income. This foreign income will be subject to taxation under the Individual Income Tax (IRPF) and must be reported in the Annual Adjustment Return (DAA).
In addition to the general rule, which establishes a progressive tax rate, the measure also includes specific rules depending on the type of investment, taxable event, and updates of the value of assets and rights abroad. The MP will be effective as of January 1st, 2024.
In this alert, our #TaxLaw team elaborates in detail on the definition and each specific rule of the measure, as well as the points to be considered. Read more
