Brazil has recently been taking part in the international tax scenario, participating in BEPS, and has submitted a formal request to become a member of the Organization for Economic Co-operation and Development (“OECD”).
In light of this recent interest, the Brazilian Senate approved the following treaties / amendments to treaties, as published in the Official Gazette on May 26th, 2017:
- Brazil - Russia Double Tax Treaty (2004): though signed in 2004, the treaty that deals with avoidance of double taxation and tax evasion between Brazil and Russia had not yet been analyzed by the Brazilian Senate. This analysis occurred recently and the text was approved through Legislative Decree 80/2017;
- Brazil - India Double Tax Treaty (1988): the treaty that deals with avoidance of double taxation and tax evasion between Brazil and India was signed in 1988 and is in force in Brazil since 1992. However, the parties signed an amending protocol on October 15th, 2013, in order to amend and update Article 26 of the treaty which deals with exchange of information. Such amending protocol was approved by the Brazilian Senate through Legislative Decree 81/2017;
- Brazil - Spain Agreement for the Mutual Exchange and Protection of classified information: Brazil and Spain already have a Double Tax Treaty in place since 1976, which deals with avoidance of double taxation and tax evasion. Now, a new treaty that deals only with Mutual Exchange and Protection of classified information between Brazil and Spain, signed on April 15th, 2015, was approved by the Brazilian Senate through Legislative Decree 82/2017.
Please note that the abovementioned treaties should only become binding in Brazil after the President approves them through an Executive Decree.
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