Brazil: Taxation of data processing services in Rio | KPMG | GLOBAL

Brazil: Taxation of streaming, advertising, data processing services in Rio

Brazil: Taxation of data processing services in Rio

A law published by the municipality of Rio de Janeiro amends the city’s tax provisions and expands the types of activities or services that are subject to a municipal tax (imposto sobre serviços—ISS).

1000

Related content

Activities added to the list of services subject to ISS in Rio de Janeiro include: 

  • “Streaming” of audio, video, images, and text via the internet—subject to ISS at a rate of 2%
  • Advertising (including text, images, drawings and other marketing and merchandise contents in any media, except books, newspapers, journals and through broadcasting services and free-of-charge reception of images and sounds)—subject to ISS at rate of 3% 
  • Processing, storage, or hosting of data, texts, images, videos, electronic pages, applications and information systems—subject to ISS at a rate of 5% 
  • Computer programs including electronic games—subject to ISS at a rate of 5%

These measures are to be effective in January 2018, following a 90-day period after the publication of the law.

 

Read a November 2017 report (English) and (Portuguese) prepared by the KPMG member firm in Brazil

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