Senate approves 15% tax on Bitcoin and cryptocurrencies on exchanges outside Brazil - measure expected to be valid for 2024.
The Senate approved the proposal that changes the Income Tax on investment funds and income obtained abroad, including the tax on Bitcoin and other cryptocurrencies stored on exchanges outside Brazil. The measure was approved by deputies and senators but still needs to be sanctioned by the president of Brazil, however, as it is a project created by the Executive Branch, it will probably be sanctioned urgently.
Bill 4173/2023 focuses on charging taxes on a series of investments outside the country and proved to be stronger in the taxation of exclusive funds (with few shareholders) and offshores that are maintained by Brazilians abroad. Cryptocurrencies and virtual assets are just one part of this law.
The new rule establishes taxation of up to 15% for cryptocurrencies valued at more than R$6,000, in companies abroad, changing other laws, such as the Civil Code, to tax or increase the rates on exclusive funds and offshore investments. .
Senator Rogério Marinho expressed his opposition to the proposal and commented that the new tax shows the Government's inefficiency in managing the economy. Taxpayers will have the option of updating the value of their assets and rights abroad to market value until December 31, 2023, taxing the difference to the acquisition cost at the definitive rate of 8%.
The proposal does not appear to conflict with current rules and the Federal Revenue Service would continue to provide guidance in this regard. The most important thing about this is that you should look for an expert on the subject, an accountant for example. Only someone who is educated on the subject will be able to tell you how you should pay your taxes.
