Income tax on rent, worked example, in Brazil
| Non-resident couple´s joint monthly rental income1 | US$1,500 | US$6,000 | US$12,000 | |
| Annual Rental Income | 18,000 | 72,000 | 144,000 | |
| = Taxable Income | 18,000 | 72,000 | 144,000 | |
| Income Tax Rates2 | ||||
| Flat Rate | 15% | 2,700 | 10,800 | 21,600 |
| Annual Income Tax Due | US$2,700 | US$10,800 | US$21,600 | |
| Tax Due as % of Gross Income | 15% | 15% | 15% | |
| Thanks to: ACAL - Consultoria e Auditoria S/C |
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DISCLAIMER: The information contained above is marketing material only and is not written tax advice directed at the particular facts and circumstances of any person and should not be relied upon. We encourage you to discuss your particular situation with us or an independent tax advisor. This information was last updated on October 3, 2006.
Notes
1 The residential property is jointly owned by husband and wife.
2 Non-resident couple domiciled in a tax haven country.
3 Nonresident couple is taxed at a flat rate of 15% if they are not domiciled in a tax haven country. Nonresidents´ gross rental income is taxed at a flat rate of 25% if domiciled in a tax haven country.
| Non-resident couple´s joint monthly rental income1 2 | US$1,500 | US$6,000 | US$12,000 | |
| Annual Rental Income | 18,000 | 72,000 | 144,000 | |
| = Taxable Income | 18,000 | 72,000 | 144,000 | |
| Income Tax Rates3 | ||||
| Flat Rate | 25% | 4,500 | 18,000 | 36,000 |
| Annual Income Tax Due | US$4,500 | US$18,000 | US$36,000 | |
| Tax Due as % of Gross Income | 25% | 25% | 25% | |
| Thanks to: ACAL Consultoria e Auditoria and KPMG |
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DISCLAIMER: The information contained above is marketing material only and is not written tax advice directed at the particular facts and circumstances of any person and should not be relied upon. We encourage you to discuss your particular situation with us or an independent tax advisor. This information was last updated on October 3, 2006.
Notes
1 The residential property is jointly owned by husband and wife.
2 Non-resident couple domiciled in countries that are not tax havens.
3 Nonresidents´ gross rental income is taxed at a flat rate of 25% if they are domiciled in a tax haven country. Nonresidents´ gross rental income is taxed at a flat rate of 15% if domiciled in a country that is not a tax haven.