Brazil’s Central Bank announces its 3rd public consultation to annual declaration of Brazilian Capital held Abroad

On November 4, Brazil’s Central Bank (Banco Central do Brasil/Bacen) opened public consultation 93/2022 regarding Law 14,286/2021, which deals with the Brazilian exchange market, Brazilian capital abroad, foreign capital in the country and provision of information to Bacen.

The public consultation deals specifically with Brazilian capital abroad, highlighting the following:

1. ● all individuals and legal entities that are resident, domiciled or headquartered in Brazil (in accordance with Brazilian tax legislation) and that hold, outside Brazilian territory, assets of any nature amounting to or exceeding USD 1,000,000.00 (one million United States dollars) and US$100,000,000.00 (one hundred million US dollars) must file the annual or quarterly information return, respectively;
2. ● consolidated norms and simplified rules and requirements, incorporating advances to the new Law;
3. ● possible investment of Brazilian capital abroad in any that complies with the international market;
4. ● operations with Brazilian capital abroad must have economic basis, and legal entities which are subject to specific sectoral regulations must also observe these requirements when investing Brazilian capital abroad; and
5. ● updates services for providing information on Brazilian capital abroad – including digital assets and fiduciary structures – to Bacen.

Contributions may be submitted by December 3, 2022, and the entire content may be consulted here.

For further information please contact our Financial Market team (mercadofinanceiro@btlaw.com.br).