Living in Brazil: tax residency based on visa and length of stay, 2026 reform

In Brazil, visa type and length of stay determine tax residency. According to Decree 9.580/2018, a person entering with a permanent visa is taxed as a resident from the moment of arrival. With a temporary visa, they are considered a resident upon arrival if they are employed under a subordinate relationship, otherwise if they stay more than 183 days, consecutive or not, within a twelve-month period from their arrival date. Since January 1, 2026, a law passed in November 2025 adds a tax reduction, a withholding tax on large dividends, and a minimum tax for high earners. This page presents these texts. It does not provide information on the rules for non-residents, wealth tax, or local savings products: these points could not be obtained from the official source.

Upon arrival: permanent visa or temporary visa

Decree 9.580/2018 is the income tax regulation. Two articles define the residency requirements for new arrivals.

According to the single paragraph of Article 17, before that date income is taxed as that of a non-resident (reference to Article 741, which we have not read).

The decree imposes taxes on non-residents on income earned in Brazil according to chapters of Book III (Article 1 § 2), which we were unable to read: this page does not provide the relevant rates. The text consulted is the one published on the website of the Presidency of the Republic, which specifies that it does not replace the publication in the Official Gazette (DOU) of November 23, 2018. Its consolidated version, currently in force, should be verified before making any decision.

Initially: the final exit declaration and the twelve months that follow

Article 14 of the decree concerns residents who are leaving the country permanently. They must submit a Declaration of Permanent Departure (Declaração de Saída Definitiva do País). This declaration covers income received from January 1st until the day before their departure. The text we read refers to Article 918 for the filing deadline, which we did not read.

Paragraph 3 addresses failure to file a declaration. A person who leaves the country without submitting this declaration remains taxed as a resident for the first twelve months of absence. Income received after departure is subject to exclusive or permanent withholding tax (paragraph 2). For a French citizen leaving Brazil for France, the subsequent procedures are handled by the French authorities: our page on tax residency details the three criteria outlined in Article 4 B of the French General Tax Code (CGI).

The monthly IRPF tax scale: from 0.% to 27.5.%

Law 11.482/2007 contains the monthly progressive tax schedule for personal income tax (IRPF). In its version applicable from May 2025, the first bracket extends up to 2,428.80 R$ with a tax rate of 0 %. The highest bracket, above 4,664.68 R$, is taxed at 27.5 %, with a deduction of 908.73 R$. Intermediate brackets exist; we will not detail them here. The annual tax is calculated according to an annual table, which is the sum of the monthly tables in effect during the calendar year.

Law 15.270 of November 26, 2025, introduced a tax reduction effective January 1, 2026 (Article 3-A of Law 9.250/1995). For a monthly taxable income up to 5,000 R$, the reduction eliminates the tax. It then decreases and disappears at 7,350 R$; beyond that, there is no further reduction.

Since 2026: dividends above 50,000 R$ per month and minimum tax

Two rules of the same law concern the highest incomes.

Withholding tax on dividends (Article 6-A of Law 9.250). Dividends paid by the same legal entity to the same individual resident in Brazil, exceeding 50,000 R$ in a single month, are subject to withholding tax at a rate of 10%, calculated on the total amount paid and not on the portion exceeding 50,000 R$. No deductions are applied to the tax base. Certain dividends are excluded, including those related to profits settled up to and including the 2025 calendar year and distributions approved up to and including December 31, 2025.

Minimum tax (article 16-A). It targets individuals whose total income for the calendar year exceeds 600,000 R$. The rate increases from 0 % to 600,000 R$, and up to 10 % for income equal to or greater than 1,200,000 R$, according to the formula "(REND/60,000) – 10". Details of the income considered are not provided here.

Minimum tax and monthly threshold of 50,000 R$: numerical example (fictitious profile)

Situation. Ana, a resident of Brazil, fictitious profile, received 900,000 R$ of income in the calendar year, including 360,000 R$ of dividends paid by the same company, at a rate of 30,000 R$ each month.

Issue. She wants to know if the monthly threshold of 50,000 R$ has been exceeded and what minimum tax rate the formula gives for her income.

Strategy. She compares each monthly payment to the threshold, then applies the formula in Article 16-A to her total annual income.

Result. Each payment of 30,000 R$ remains 20,000 R$ below the 50,000 R$ threshold: the 10 % withholding is not triggered by these payments. The formula gives 900,000 / 60,000 – 10 = 5: a rate of 5 %, halfway between 0 % (600,000 R$) and 10 % (1,200,000 R$). A single payment of 90,000 R$ in a month would exceed the 40,000 R$ threshold; The withholding of 10 % would then apply to the total paid, i.e., 9,000 R$, and not to the excess of 40,000 R$ (assuming none of the above exclusions apply). The basis on which this rate is applied is not shown here: this calculation is not a tax amount.

Foreign investments: 15,130 per year

Law 14.754 of December 12, 2023, addresses financial investments, controlled entities, and trusts held abroad by individuals residing in Brazil. Income from capital invested abroad is taxed at 15 % in the annual tax return, without deduction of the tax base. Profits from controlled entities abroad are taxed on December 31 of each year. Tax paid abroad may be deducted from Brazilian tax under certain conditions, including the existence of a tax treaty or reciprocity agreement. The law applies from January 1, 2024. The published page bears the notation "Vigência encerrada" (Victims of the Law) and references to a provisional measure from 2025 in Articles 17 § 1 and 25; Articles 2, 4, and 5 do not contain references in the current reading, but the consolidated version should be verified.

For a French resident of Brazil who holds a life insurance contract or an account in France, the French information sheet on contracts opened abroad applies on the French side; the Brazilian interpretation of these products has not been done.

Social security: the INSS, the FGTS, the public health system

The CLEISS fact sheet, dated 2025, indicates that individuals working in Brazil are insured under the Brazilian system. Benefits are provided by the Instituto Nacional do Seguro Social (INSS). Employers contribute 8,130 of their earnings to each employee's individual FGTS account. Urban retirement requires a legal retirement age of 65 for men and 62 for women, with at least 15 years of contributions. The public health system (SUS) provides free access to healthcare. The fact sheet does not specify the employee's contribution rate and does not mention any social security agreement between France and Brazil; therefore, this page draws no conclusions from this information.

Living in Brazil: what changes depending on your situation

• Your visa on entry and your arrival date.
• The duration of stay is twelve months, if you have a temporary visa without employment under a subordinate relationship.
• The amount and nature of your income, including dividends paid by the same company.
• Holding investments or companies abroad.
• The final exit declaration, if you are leaving the country.

The rule depends on your situation. No results are guaranteed.

What this page does not cover

It does not provide information on non-resident taxation, intermediate tax brackets, details of the minimum tax, wealth tax, inheritance tax, local savings products and life insurance, visas and residence permits, or the deadline for filing the exit tax return. Local tax matters should be reviewed with a Brazilian professional; French tax law is addressed in our sections on tax residency and the relevant tax treaty.