Brazil: New deadlines for corporate tax e-filing requirements

Brazil: New deadlines for corporate tax e-filing

Brazil’s tax authority (Receita Federal do Brasil - RFB) announced new deadlines for certain information filings by corporate taxpayers for 2015.

Related content

The guidance—Instruções Normativas nº 1.594/15 and nº 1.595/2015 (3 December 2015)—establishes the following filing deadlines for companies that are required to maintain:

  • “Digital accounting bookkeeping" (Escrituração Contábil Digital - ECD)—ECD is due by 31 May 2016 or the last business day of May.
  • “Accounting tax bookkeeping” (Escrituração Contábil Fiscal - ECF)—ECF is due by 30 June 2016 or the last business day of June.

Background

As a relatively new corporate income tax e-filing requirement in Brazil, ECF brings complexities and challenges for all Brazilian taxpayers because of a requirement for consistency and its novel technical layout, data analytics, and accounting records that support the tax computation. 

The ECF or “accounting tax bookkeeping” was, beginning in 2015, a new filing requirement for all information concerning the corporate income tax (IRPJ) and social contribution on net profit (CSLL) calculations. The ECF replaced the corporate income tax return (DIPJ). Therefore, ECF is a mandatory filing requirement for all Brazilian companies subject to corporate income tax. 

KPMG observation

Taxpayers could find that, in practical terms, if the ECD is filed on 31 May 2016, a company would only have one month in which to prepare and submit the ECF. Accordingly, it would be critical for those companies to anticipate what steps or actions are needed to satisfy the reporting requirements, such as the matching of accounting entries with adjustments made to taxable income.

 

Read a December 2015 report (Portuguese) [PDF 52 KB] prepared by the KPMG member firm in Brazil: Novos prazos para transmissão da ECD e ECF

The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us

 

Request for proposal

 

Submit

KPMG's new digital platform

KPMG International has created a state of the art digital platform that enhances your experience, optimized to discover new and related content.