[Amanda Ramos Oliveira]

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Good afternoon,

Excellent content. Thank you for sharing it.

I've been living in Germany since 2019 and declared my permanent departure from Brazil in 2020. I live here with my husband, who works and earns a salary here and has also declared his departure. As it happens, I got a job in a Brazilian company (home office) and have been working since December 2021. Under German law, because I'm resident here, I have to pay tax on this income earned in Brazil.
However, with the exit declaration and since the source of payment withholds directly from the source, I pay 25% in tax (non-progressive) plus the INSS percentage, totaling around 35/36%.

According to the reciprocity agreement between Brazil and Germany, I believe I only need to pay the difference between the tax paid in Brazil and what would be paid here (I think it would be 10%, I already pay the health insurance), but I imagine that the INSS is not included in this amount and that the calculation basis is 25%, is that right?

In this case, I wonder if I shouldn't reverse my non-resident status, considering that I would be in the 27.5% category, but with an effective tax of 9.74% instead of 25%; and also that I don't send my redemptions to Germany (I make investments in Brazil).
Is it possible to reverse this condition by filing a tax return?
Would the tax in Germany be the 27.5% or the effective rate?

Thank you very much.

[Author]

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