Brazil: New decree amends tax rate on service exporters
Brazil has made amendments to Decree 9,904. The Decree reduces the income tax rate to zero in relation to amounts paid, credited, delivered, employed or remitted to foreign clients, specifically related to market research and promotional activities abroad.
According to the new provisions, the following outbound payments must be registered in a system maintained by the Ministry of Economy:
- Payments for market research, rent and lease of stands and venues for exhibitions overseas, including promotion and advertising of Brazil products during these events
- Service fees for the promotion abroad of Brazil by organs of the Executive Power