Hey everyone,
Quick questions. Can anyone confirm what the tax rates on salaries are in Brazil/SP? Im trying to calculate what my net payments would be.
Also, I'm looking into neighborhoods in SP for housing searches and wanted recommendations where I could narrow my searches. I'm trying to save money and not have to pay a lot for rent. I'm more interested in enjoying my time and gaining experiences than living in luxury.
Thanks everyone!
Tax and neighborhood question
Bebes360
10 September 2012 01:46:43
17
James
10 September 2012 12:41:22
11272
Hi Bebes360,
If you earn below R$4.271,59 your tax rate will be anywhere from 7.5 to 22.5% based on the amount you earned. Any incomes over that amount per month your tax rate will be 27.5% on the total earnings.
A rental search is a pretty broad subject unless we know what area you are working in. São Paulo is a pretty big place, the metropolitan population is 20 million. You could spend an hour and a half or more commuting one way. Obviously the farther you live from the city center and the major financial areas like Itaim Bibi and Morumbi the cheaper the rents will be so there is a trade-off, rent or commute time.
Interlagos, Grajaú, Butantã, Osasco are some of the areas nearer to Itaim and Morumbi where it is still possible to find reasonable rents. You can see lots of areas by checking www.lugarcerto.com.br or imobiliariaonline.net
While it's a little farther away, I lived in Pirituba (zona oeste) when I lived in São Paulo. The rents are reasonable, the biarro is really nice and has lots of shops it is also within reasonable distance to places like West Plaza, Bourbon Shopping, Mercado da Lapa, etc., you might want to think about that area as an option too. I worked all over greater São Paulo and got to most places within an hour and a half using public transportation.
Cheers,
William James Woodward - Brazil Animator, Expat-blog
Bebes360
11 September 2012 04:03:41
17
William,
Are those tax totals based on gross or net totals?
Much appreciated!
James
11 September 2012 05:59:49
11272
I would presume that they are based on gross, you would have to ask the Receita Federal or your employer to be sure.
The only information I can see is that is the percentage that your employer must deduct based on the monthly salary. The exact figures are:
Tabela Progressiva para o cálculo mensal do Imposto sobre a Renda da Pessoa Física para o exercício de 2013, ano-calendário de 2012.
Base de cálculo mensal em R$
Alíquota %
Parcela a deduzir do imposto em R$ Até 1.637,11 - 0%
De 1.637,12 até 2.453,50 - 7,5% (R$122,78)
De 2.453,51 até 3.271,38 - 15,0% (R$306,80)
De 3.271,39 até 4.087,65 - 22,5% (R$552,15)
Acima de 4.087,65 - 27,5% (R$756,53)
What I make of these figures is that if you earn considerably more than R$4.087,65 you would end up paying more than the bracketed figure. That is the base amount, so for example if you earned R$7.000,00 per month which is about average for middle management positions then you would pay R$1.925,00 in tax per month.
One good thing I can say is that thre are NO regional or state income taxes here in Brazil. They get you in other ways........ taxes are a plague here.
Another thing you would have to consider is your taxable benefits too. If your employer pays for private health/dental insurance, accommodations, etc., those amounts would be taxed. I have no idea at all what rate would be applied to them. The tax system here is one of the most complex in the civilized world.
Cheers,
William James Woodward - Brazil Animator, Expat-blog
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