AGN LIVE COUNTRY GUIDES

Doing Business in Brazil

Published in March 2020

Financial hub of Brazil
Brazil has the world’s eighth largest economy by GDP, and the region of São Paulo is responsible for a third of that. São Paulo competes with countries such as Poland and Belgium in terms of economic performance and is, therefore, the natural home of financial services in Brazil. With some of the world’s biggest banks establishing a Latin American base in São Paulo, it’s easy to apply for business loans and capital, and connect with some truly influential figures in the world of banking. That’s not only great news for businesses looking to set up in the financial technology sector, but businesses across virtually every sector in need of loans.
According to one report, 63% of all companies that operate in Brazil have a São Paulo base, which demonstrates the pull of the region and its appeal over other states. In simple terms, if you want to be considered a big business and work in the same field as some of the world’s most renowned names in finance, São Paulo is the ideal starting point for your Brazilian expansion.

Advantages of a large population
As of 2019, São Paulo is home to more than 12,100,000 people. The city now holds the title of being the most populous city in Brazil, and the Western and the Southern Hemispheres. It is now the eleventh most populous city on the planet. São Paulo’s urban agglomeration, the Macro metropolis, is also home to more than 33 million people across Campinas, Santos, Sorocaba, and the Paraíba Valley. The most obvious advantages of operating in such a populous city are that you can enjoy access to a huge potential pool of clients and customers, as well as an endless stream of new talent as your organization grows and develops. What’s more, despite relatively low levels of tourism in the city, São Paulo is home to some stunning architecture, restaurants, and nightlife, which offer unique opportunities for businesses entering into the tourism and services sectors. This setting enables businesses to pull in talent traveling from overseas, if so desired.
Benefits of doing business in Brazil
With an estimated population of over 214 million people, Brazil presents several opportunities for foreign investors to do business in the country.

Large consumer market
Brazil has the fifth largest global population, and a fast-growing middle class (as is present across the entire Latin American region), meaning that there is a huge consumer market. The size and diversity of the consumer market has created a wealth of exciting commercial opportunities for foreign businesses looking to access new clientele within Brazil.

International trade access to the rest of the Americas
Companies incorporated in Brazil have direct access to Argentina, Paraguay, and Uruguay (founding members of MERCOSUR), and also 7 other Associated Members through this multilateral agreement.
Establishing a commercial presence in Brazil gives companies easy access to other countries in the region, and allows them to take advantage of strategic trade agreements. Brazil is part of the Southern Common Market, commonly known as MERCOSUR, which was established in 1991.
The trade group’s objectives include: Free movement of goods and services through the removal of customs duties and non-tariff restrictions. Standardized external tariffs and commercial policies among members, including economic, agricultural, industrial, fiscal capital, services, customs and transport policies

Cooperation in international economic forums
Integrated legislation to make it easier for businesses and people operating across MERCOUR member countries.
Companies incorporated in Brazil have direct access to Argentina, Paraguay, and Uruguay (founding members of MERCOSUR), and also 7 other Associated Members through this multilateral agreement.

Desirable geographic conditions
Brazil is geographically large and naturally diverse, providing an ideal climate for agricultural production and business ventures. Traditionally, agriculture has been a staple national sector, and despite the effects of the Global Financial Crisis, Brazil continued with strong agricultural output. For companies looking to invest in this sector, there are ample opportunities. One example of an opportunity includes the introduction of new technology and equipment to improve efficiency and increase agricultural output. This innovative section of agribusiness, known as ‘aggrotech’, also contributes to a wider national agenda of ensuring and improving food security. It’s therefore in Brazil’s interest to support agribusiness growth on a medium and large scale, and improve outputs generated by the large proportion of small, family-owned agriculture businesses.

Openness to foreign investment
For those thinking about incorporating a local company in Brazil, 100% foreign ownership is allowed, and companies can sponsor the visas of foreign employees. For those thinking about incorporating a local company in Brazil, 100% foreign ownership is allowed, and companies can sponsor the visas of foreign employees. Additionally, local companies can be incorporated in Brazil without the need to physically visit the country; the process can be completed through a Power of Attorney. The new government has declared their support for foreign investment in Brazil and are extremely ‘pro-business’, giving confidence to foreign companies interesting in engaging the local market.

Great infrastructure for doing business
Unlike some of its neighbors, Brazil has excellent infrastructural and transportation facilities. Brazil has large and developed roads – and one of the largest highway systems in the world – and has various railway systems for land transportation. There are 175 maritime and river ports in the country, 32 of which are public. There is therefore an extensive network of land and maritime logistics support for businesses moving goods across the country and internationally.  

 

The Brazilian Government is actively cultivating relationships with international and U.S. businesses and prioritizing macroeconomic stability. In order to avoid the 'redundancy' risk of the use of static data about various countries, this portal incorporates various data feeds from:

  • The World Bank

  • The Organisation for Economic Cooperation and Development (OECD)

The intention is to provide access to live information extracted from the regularly refreshed databases maintained by these organisations.

 

 

Use the navigations buttons below to access to more live data:
Inflation, Development indicators, Exports, Trade Balance, and more.

OECD Country Comparison Portal

The window below is a direct feed of regularly updated information from the OECD. It provides data concerning everything from GDP growth, fiscal balance, investment, and unemployment rates to consumption, import volume and export volume. The window allows comparisons between Brazil and other countries of the OECD average for these factors.

Inflation (CPI)

Total, Annual growth rate (%)

World Bank Development Indicators

The window below is a feed from the World Bank website and shows the primary World Bank collection of development indicators, compiled from officially-recognized international sources. It presents the most current and accurate Brazilian and global development data available, and includes national, regional and global estimates. Amongst others it covers critical areas of Agriculture & Rural Development, Climate Change, Economy & Growth, Education, Energy & Mining, Environment, External Debt, Health, Infrastructure and Labor & Social Protection

Exports

This graph is taken from The Observatory of Economic Complexity (OEC). Products, represented by rectangles, are drawn from the 775 individual product classes found in the Standardized International Trade Code.

This graph shows volumes of goods exported from Brazil.

Imports

This graph is taken from The Observatory of Economic Complexity (OEC). Products, represented by rectangles, are drawn from the 775 individual product classes found in the Standardized International Trade Code.

This graph shows volumes of goods imported into Brazil.

Trade Balance

This graph is taken from The Observatory of Economic Complexity (OEC).

This graph illustrates the subsequent trade balance of exports and imports to and from Brazil.

Destinations

This graph is taken from The Observatory of Economic Complexity (OEC).

This graph shows the destinations of goods and services by country.

 

Business Opportunities Brazil:

Positive ‘Energy’- investment opportunities in Brazil     (January 2016)

New government incentives make foreign investment into the Brazilian energy sector particularly attractive to suppliers in the wind/solar power, electricity and fuel sectors.  

There are certain technical criteria that must be demonstrated in order to qualify for these tax benefits. The AGN member firm in Brazil has experience to provide proper guidance.

find the firm best prepared to serve you

Tax Publications:


CSA TAX CARDS 2021

A summary of most relevant taxes in Latin America


Use this publication to make a quick Latin American country comparison on different taxes; including Income Tax, Double Tax Treaties and more.

Read the publication in Spanish  

Read the publication in English
 

MAIN TAXES 2021

A comparison of Central & South American Countries 2021


Use this publication to make a very quick country comparison on different taxes in the Central & South American region; including Corporate Income Tax, Dividends, Royalties, Technical Assistance, Interests, VAT, VHT VAT, Double Tax Agreement and Deadline Prescription. 


Read the publication in English
 
El Comité de Impuestos de AGN Centro y Sud América promueve la recopilación información relevante para el comercio internacional.
DOUBLE TAX TREATIES (In Spanish)
CONVENIOS DE DOBLE TRIBUTACIÓN
 

Most relevant treaties in Latin America
Los tratados más relevantes en Latinoamérica


This publication includes a summary of the countires in Latinamerica that hold treaties with countries in the region and the rest of the world, including dividends and interests.

En esta publicación encontrará un esquema de los países de Latinoamérica que tienen tratados con países de la región y también con países del resto del mundo, incluyendo dividendos, intereses y regalías.

Read the publication in Spanish

TRANSFER PRICING 2021

Countries Comparison


A collection of transfer pricing summaries of countries in the Latin America region. 

Read the publication in Spanish
 
El Comité de Relación con Norte América de AGN Centro y Sud América promueve la conexión entre ambas regiones para faclitiar oportunidades de negocio y aportar valor.

The Committee of Relationship with North America promotes the connection between regions to facilitate business engagements.
Doing Business in Central & South America 2016

Benefits in setting up businesses in the region


The region offers ample trade and international investment opportunities.
Find key indicators for investors that are looking to set up a business in Argentina, Brazil, Brazil an more countries in the region.

Read full publication

AGN News:

October 2021
The Tax and Accounting Division of Canopy 360 is Joining James Moore!

 


Gainesville, FL (Sept. 27, 2021) – The tax and accounting partners and employees of Canopy 360, an Ocala‐based firm, are joining James Moore & Co., P.L. (James Moore) effective Nov. 1, 2021. Canopy 360 was established in Ocala in 2005. The move to James Moore fits into the strategic growth plans  for  both  firms.  Canopy  360  was  seeking  a  firm  that  closely  matched  their  client  demographics,  culture and core values. James Moore sought to make headway in the Ocala market—a natural fit as the center of the firm’s geographic footprint.

 
Read the Press Release
October 2021

Press Release: Dubai Firm Joins AGN Membership




AGN International – one of the world’s leading associations of independent certified public accounting and consulting firms, announces that AMAJ has joined its membership in the AP region.

AMAJlocated in Dubai, United Arab Emirates, was established in 2017 by Abdulmannan Al Janahi and JDNT & Associates, an AGN member firm based in India. AMAJ provides Audit, Taxation, Advisory Services, ERP consulting, Cyber security and other ITes services.

Read the Press Release

AGN Firms in the country


Brazil
GESCON Consultoria Empresarial
Av. Marques de Sâo vicente
230
CJ 1218, 1219, 1220
Sao Paulo 02514000
Time Zone: CIT
Phone: (+55) 11 99633 7178
EMail: gescon@gesconconsultoria.com.br
RTURBA Serviços Contábeis
Avenida Rio Branco, 131
sala 1301
Centro
Rio de Janeiro 20040-006 RJ – CEP
Time Zone:
Phone: (+55 21) 3557 5551
EMail: renata.turba@rturba.com.br
WFA Auditores Independentes
Av. Nações Unidas, 18.801
room 718
Santo Amaro
São Paulo SP
Time Zone:
Phone: (+55) 11 5541 8885
EMail: andre.valerio@wfaaudit.com.br