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Hello, first of all congratulations! The content you provide is very detailed and of great value to us who live outside Brazil.
I've been living abroad for six years and when I left I didn't file a final tax return because I didn't know how to. In my first year abroad I declared my income tax and then stopped because I wasn't receiving any income in Brazil or abroad.
However, two years ago I started making investments (transactions and CDB-Fixed Income) in the stock market through brokerage houses with the money I had in savings in Brazil and I started working abroad as a salaried employee. Here in the country where I live I pay tax (20%) like a normal citizen, but in Brazil I stopped declaring 5 years ago.
What would be the best strategy in this situation?
- Transfer all my money to my country of residence and then make a final exit declaration?
- Do I file retroactive income tax returns, transfer my money from Brazil to abroad and then file a final exit tax return as described in this post?
- Or should I keep my investments in Brazil (they're not huge amounts) and declare them every year even though I live abroad?
What would be the best strategy for me?
Thank you.
Vinicius Tersi is a lawyer, specializing in International Tax Law.