Brazil: Changes to Tax on Services
Brazil has made changes to its ISS tax regime. ISS is an indirect tax on services rendered in Brazil. In an effort to broaden the tax base and increase the tax revenue generated, Brazil has:
- Increased the minimum tax rate from 0% to 2%
- Added new services to the list of services subject to ISS, including data processing and surveillance
- Changed the rules on place of supply for certain services such as leasing, factoring and credit and debit card services
- Added restrictions on municipalities to grant exemptions, reductions of the taxable base, tax credits and other benefits
Join thousands of global business leaders who receive monthly international regulatory updates and need-to-know global information.