Documents and formalities regarding employment

Hello Justinluvwmylady,

Please note that I have created a new thread from your question on the Brazil forum as this particular question seems quite off-topic on the initial thread.

I hope members of the forum will soon be able to guide you.

All the best

Bhavna

06/10/23 @abthree. I don't understand the comment (from a diff reply) about not being able to be on an american payroll and living there. So, if I can be remote through my current job, which I am FT employed, I cannot do this while living there? I have to be employed under another status, contractor etc you say? That would mean that I can't become remote at my own job to pull this off??? I'm confused on this detail. 10
-@Justinluvwmylady

Correct. You can only do your current job remotely and be a legal resident of Brazil as an independent contractor, unless your employer has a Brazilian affiliate to which they can transfer you. Otherwise, they make themselves subject to Brazil's extensive employment laws.
-@abthree

Would you be so kind as to advise on my most recent question about what task I need to do if I obtain remote work thru u.s. while residing in Brazil (prior to heading there)? Please, and thank you. See previous post for question.

06/15/23 Would you be so kind as to advise on my most recent question about what task I need to do if I obtain remote work thru u.s. while residing in Brazil (prior to heading there)? Please, and thank you. See previous post for question.
-@Justinluvwmylady

This question has already been asked and answered.  The only way that I know of for a permanent resident of Brazil to draw income for services from a foreign source is as an independent contractor.  It's illegal for a foreign employer to place an employee in Brazil, unless the employer sets up a Brazilian legal entity that's subject to Brazilian labor laws and pays the employee through that entity.  Rephrasing the question isn't going to change the response. 

If someone has different information, please chime in.

@Bhavna Thank you for staying on top of things and attempting to keep the threads straight!

Hello everyone,

Please note that I have added post 3 and 4 to this thread of the Brazil forum. The topic where they had been initially posted is not about employment.

@rraypo, thank you for the encouragement. It is greatly appreciated.

All the best

Bhavna

@Justinluvwmylady

Hello,

I work for a US employer and am located in Brazil.  My US employer employs me as a US employee.  They're not registered in Brazil or anything like that.  I just work remotely.

As a permanent resident, I am a tax resident of Brazil and I need to pay income tax.  In order to do so, all I really needed was a CPF number.  I didn't register anything with the US employer or Brazil specifically, and the US employer did not need to do anything special.  In fact my employer doesn't even have my current address on file (although they know I'm here).

The income taxes in Brazil are due monthly. Since your US employer is not deducting income taxes for Brazil from your paychecks, that is something you must do manually, which is really the only requirement you have that I'm aware of.

That income tax that you pay which is not deducted at the source is called Carne Leao (you can google that for more info).  Your US federal income taxes are deductible against your Brazil income tax, so that should avoid 'double taxation'. I have a Brazilian tax attorney prepare my Carne Leao taxes.  I send them my pay stubs for the month and they send me a DARF which is the statement I use to pay the taxes via my Brazilian bank account.  You can prepare the DARF for Carne Leao yourself as well.. I have not done that though.

@Justinluvwmylady
Hello,
I work for a US employer and am located in Brazil. My US employer employs me as a US employee. They're not registered in Brazil or anything like that. I just work remotely.

As a permanent resident, I am a tax resident of Brazil and I need to pay income tax. In order to do so, all I really needed was a CPF number. I didn't register anything with the US employer or Brazil specifically, and the US employer did not need to do anything special. In fact my employer doesn't even have my current address on file (although they know I'm here).

The income taxes in Brazil are due monthly. Since your US employer is not deducting income taxes for Brazil from your paychecks, that is something you must do manually, which is really the only requirement you have that I'm aware of.

That income tax that you pay which is not deducted at the source is called Carne Leao (you can google that for more info). Your US federal income taxes are deductible against your Brazil income tax, so that should avoid 'double taxation'. I have a Brazilian tax attorney prepare my Carne Leao taxes. I send them my pay stubs for the month and they send me a DARF which is the statement I use to pay the taxes via my Brazilian bank account. You can prepare the DARF for Carne Leao yourself as well.. I have not done that though.
-@BRBC

perfect! thank you!!!

06/15/23 Would you be so kind as to advise on my most recent question about what task I need to do if I obtain remote work thru u.s. while residing in Brazil (prior to heading there)? Please, and thank you. See previous post for question.
-@Justinluvwmylady

This question has already been asked and answered. The only way that I know of for a permanent resident of Brazil to draw income for services from a foreign source is as an independent contractor. It's illegal for a foreign employer to place an employee in Brazil, unless the employer sets up a Brazilian legal entity that's subject to Brazilian labor laws and pays the employee through that entity. Rephrasing the question isn't going to change the response.

If someone has different information, please chime in.
-@abthree @bhavna @rraypo

Dear team,

I clearly did not know that this was moved to it's own forum, as all messages were posted here instead. As you can see, that initial message is here, and not in the other forum telling me that it is here... I also have been receiving random notifications for other forums since I subscribed to Brazil forum in general, so I've had to keep unsubscribing to things, etc. I didn't receive any info telling me that this forum was created, only when I just clicked on my profile and looked at my activity log, because it seemed my post were not being posted, and replies I could not see. Even right now, the email for a reply I received from abthree says that it's in the other forum, not this one. I literally just contacted athe site to help me figure out what the issue was, before I randomly decided to check other areas on the website or my profile. The areas I've checked did not point to this info, so I still had no idea until right now. So, please, take it easy on me.... Not only am I new here, and I am very pc/software/program savvy, but I've obviously got a lot to take care of outside of here, so time has been short, crunched, and sleep has been little; so, I haven't been able to fully immerse myself into all of this wonderful site, okay? Not only am I doing several things at once, but it's all new things as well. Before some of the particular comments made, maybe consider there may be something going on the other person's end first? So I did not know this existed until now, okay? Are we good? The world is already challenged enough with turbulence, misunderstanding, etc. We should do better. And I definitely have appreciated each of you 200%, sincerely. Thank you greatly.

@Justinluvwmylady Hello, no problem, but you have posted on only 2 threads of the forum :

1) Moving To Brazil To Live With My Girlfriend

2) Documents and formalities regarding employment

I have opened the second one for you and have posted on the thread to notify you https://www.expat.com/forum/viewtopic.p … 71#5696750

If you haven't been getting any notifications for this thread, I will have to contact IT to see what happened. Sorry about that.

Regards

Bhavna