Americas · Tax guide

Brazil

Brazil taxes company profits at a combined 34% (IRPJ 15% plus 10% surtax, and CSLL 9%), offers simplified regimes for smaller businesses, and layers federal, state and municipal taxes on sales — which a major reform is replacing with a dual VAT between 2026 and 2033. Federal taxes are administered by the Receita Federal.

Updated 1 October 2026 · 8 of 8 figures checked against official sources

Check your obligations

At a glance

Corporate income tax
34% (IRPJ 15% plus 10% surtax, and CSLL 9%)

IRPJ plus CSLL

Simples Nacional
R$4,800,000

Revenue limit for the single-payment regime

Presumed profit regime
R$78,000,000

Revenue limit

PIS and COFINS
9.25% (non-cumulative) or 3.65% (cumulative)

Federal taxes on revenue

Withholding on dividends abroad
10%

Since 2026

Domestic minimum tax
15%

Through an additional CSLL

Corporate income tax and the profit regimes

Corporate income tax totals 34% (IRPJ 15% plus 10% surtax, and CSLL 9%) of profit. Businesses choose a regime by size:

  • Simples Nacional: revenue up to R$4,800,000; one monthly payment covering most federal, state and municipal taxes.
  • Presumed profit (Lucro Presumido): revenue up to R$78,000,000; tax on a fixed share of revenue instead of actual profit.
  • Actual profit (Lucro Real): compulsory above that limit and for banks; tax on accounting profit, with PIS and COFINS at the non-cumulative rate.

Taxes on sales and the reform

Businesses outside Simples pay PIS and COFINS at 9.25% (non-cumulative) or 3.65% (cumulative), state ICMS on goods and municipal ISS on services, and every sale needs an electronic invoice (NF-e or NFS-e).

Brazil is replacing these taxes with a dual VAT. In 2026 invoices show CBS 0.9% and IBS 0.1% in 2026 (creditable against PIS/COFINS); the federal CBS fully replaces PIS and COFINS in 2027, and the state and municipal IBS replaces ICMS and ISS gradually until 2033.

Payments abroad

Royalties and technical services paid abroad carry 15% withholding income tax, often with CIDE and import PIS and COFINS on top. Since 2026, dividends paid abroad carry 10%. Treaties can reduce the income tax part.

Transfer pricing and the minimum tax

Since 2024 Brazil applies the OECD arm's-length principle, with master and local files reported through the ECF. Large multinational groups pay an additional CSLL to reach a minimum effective rate of 15%.

Key dates

  • MonthlyDAS payment under Simples Nacional, or PIS, COFINS, ICMS and ISS returns
  • MonthlyeSocial payroll reporting and social security payments
  • JulyECF annual corporate income tax return

Figures and sources

8 figures
  • Combined corporate income tax rate34% (IRPJ 15% plus 10% surtax, and CSLL 9%)
    Law 9,249/1995; Law 7,689/1988 · Art. 3 and §1; Lei 7.689/1988 Art. 3 III
    Checked against the official source
  • Annual gross revenue limit for Simples NacionalR$4,800,000
    Complementary Law 123/2006 · Art. 3, II
    Checked against the official source
  • Annual revenue limit for the presumed profit regime (Lucro Presumido)R$78,000,000
    Law 12,814/2013 · Art. 13
    Checked against the official source
  • PIS and COFINS rates9.25% (non-cumulative) or 3.65% (cumulative)
    Laws 10,637/2002 and 10,833/2003 · Art. 2
    Checked against the official source
  • Withholding on dividends paid to non-residents10%
    Law 15,270/2025 · §4 of the article added to Lei 9.249/1995 Art. 10
    Checked against the official source
  • Minimum effective rate for the CSLL top-up (Brazil's domestic minimum tax)15%
    Law 15,079/2024 · Lei nº 15.079/2024
    Checked against the official source
  • Test rates of the new consumption taxesCBS 0.9% and IBS 0.1% in 2026 (creditable against PIS/COFINS)
    Complementary Law 214/2025 · Art. 346 (CBS); Art. 343 (IBS)
    Checked against the official source
  • Withholding income tax on royalties and technical services paid abroad (25% to tax havens)15%
    Decree 9,580/2018 (RIR) · Art. 3
    Checked against the official source

Indicative only. This assessment is a high-level overview of tax obligations in Brazil based on the information you provided and rules in force for 2026. It is not tax or legal advice. Consult a qualified tax adviser in Brazil (a Brazilian accountant (contador) or tax lawyer) before making compliance decisions.