Tax Implications

Learn about tax implications of property purchase in Brazil.

Common taxes you should know about are:

• Capital gains tax is normally flat 15%
• Rental income earned by nonresidents is normally taxed at a flat 15%.
• Inheritance tax is a progressive tax. The maximum tax rate is 8%.
• Residents are taxed on their worldwide earnings. Income tax is progressive with a maximum rate of 27.5%.
• Municipal or Real Estate Tax on urban properties normally varies between 0.3% and 1% of the assessed value. Assessed value of the property is usually below respective market value of property.

  Your personal circumstances might be different and consultation with a qualified professional in the country of your residency (where you have citizenship) and Brazil might be advisable. Please refer to a list of qualified tax specialists below.