December 20th, 2023
Brazil | Employment Tax | Double tax treaty with Uruguay
Summary
On October 23rd, 2023, the Legislative Decree n. 11,747/2023 was published in Brazil, through which was promulgated the Convention between the Federative Republic of Brazil and The Eastern Republic of Uruguay for the elimination of double taxation with respect to taxes on income and on assets and the prevention of the tax evasion and avoidance (hereby referred as “DTT”). This DTT was signed in June 2019 and approved by Uruguay in December 2021, becoming into force in this country as of July 21st, 2023. In this way, now counting on promulgation in Brazil, its provisions will take effect in this country as of January 1st, 2024.
The Detail
The signed agreement adheres, in general terms, to the guidelines of the Model Agreement approved by the Organization for Economic Cooperation and Development (OECD).
Among other provisions, the agreement provides for: residence for income tax purposes; taxation on income from properties; business profits; dividends; interest, fees for technical services; capital gains; employment income; director’s fees; pensions.
As a method to eliminate double taxation, the agreement establishes that in case both States have the right to tax, there will be a credit mechanism of the tax paid in the other State (with the limit of tax paid in the country of source on the income or asset).
How we can help
The Vialto Partners team is entirely at disposal to assist the clients with regards to the practical impacts of this DTT.
20 de dezembro de 2023
Brasil | Imposto Trabalhista | Acordo para evitar a dupla tributação com Uruguai
Resumo
No dia 23 de outubro de 2023 foi publicado no Brasil o Decreto Legislativo n. 11.747/2023, por meio do qual foi promulgada a Convenção entre a República Federativa do Brasil e a República Oriental do Uruguai para eliminar a dupla tributação em relação aos tributos sobre a renda e sobre o capital e prevenir a evasão e a elisão fiscais (aqui referido como “acordo”). O referido acordo foi assinado em junho de 2019 e aprovado pelo Uruguai em dezembro de 2021, entrando em vigor para este país a partir de 21 de julho de 2023. Desta forma, contando agora com a promulgação no Brasil, suas disposições terão efeitos neste país a partir de 1º de janeiro de 2024.
Detalhes
O acordo assinado segue, em termos gerais, as diretrizes do Acordo Modelo aprovado pela Organização para a Cooperação e Desenvolvimento Econômico (OCDE).
Dentre outros dispositivos, o acordo dispõe sobre: residência fiscal; tributação sobre rendimentos imobiliários; lucros; dividendos; juros; serviços técnicos; ganhos de capital; rendimentos de emprego; remuneração de direção; pensões.
Como método para eliminar a dupla tributação, o acordo estabelece que, nos casos em que ambos Estados tenham competência para tributar, haverá mecanismo de crédito do imposto pago no outro Estado (limitado ao valor devido no país que aceitará o crédito).
Como podemos ajudar
A equipe da Vialto Partners está inteiramente à disposição para auxiliar os clientes no que diz respeito aos impactos práticos deste acordo.
Contact us
For a deeper discussion on the above, please reach out to your Vialto Partners point of contact, or alternatively:
Flavia Fernandes
Country Leader
flavia.fernandes@vialto.com
Marisa Paleari
Partner
marisa.paleari@vialto.com
Reinaldo Medina
Director
reinaldo.medina@vialto.com
Antonieta Mosquera
Senior Manager
antonieta.mosqueta@vialto.com
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