Legal entities and investment funds incorporated in Brazil with direct participation of non-residents in their share capital, in any amount, and with net worth equivalent to or in excess of one hundred million US dollars (USD 100,000,000), both as of December 31, 2023, on the respective base date, must deliver the annual periodic statement of foreign direct investment on the Census of Foreign Capital in Brazil system.
With the revocation of certain articles of Law 4,131/62 and changes to the respective regulatory framework, legal entities headquartered in the country that exclusively hold a debit balance in short-term commercial credits (payable within 360 days) granted by non-residents are no longer obliged to declare the Census.
The report must be electronically submitted to the Central Bank of Brazil through the website www.bcb.gov.br between July 1st, 2024, and 6:00PM on August 15, 2024.
The manual containing detailed information on the content and requirements of the report is available on the same website.
Those responsible for this report must store the supporting documentation for ten (10) years, counted as of the base date of the report, available for submission to the Central Bank upon request.
Failure to submit the report or submitting a report that does not comply with the applicable regulations, subjects the violator to a fine of up to two hundred and fifty thousand Brazilian Reais (R$250,000), pursuant to article 66 of BCB Resolution No. 131, of August 20, 2021.
The Census of Foreign Capital in Brazil aims to compile statistics of the external sector, especially the International Investment Position, in order to subsidize the development of the economic policy and support the activities of the economic researchers and international agencies.
Pursuant to BCB Resolution No. 281 of December 31, 2022, amended by BCB Resolution No. 348 of October 17, 2023, which regulates the transitional provisions in relation to foreign capital in Brazil, the Annual Census of Foreign Capital in Brazil will be required for the last time in this 2024 fiscal year. As of next year, and only if the abovementioned BCB Resolution No. 281 of December 31, 2022, is not amended, the statements to be made will follow the provisions of BCB Resolution No. 278 of December 31, 2022.
(Information based on BCB Resolution No. 131, of August 20, 2021; BCB Resolution No. 278, of December 31, 2022; BCB Resolution No. 281, of December 31, 2022; BCB Resolution No. 348 of October 17, 2023; Law No. 13,506, of November 13, 2017; and Law No. 14,286, of December 29, 2021, as amended.)
