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10/08/08 15:48
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Brazil - Retirement

Taxes

Stephen (216.99.210.180) -

Tell me about TAXES. I am a Federal retiree and I receive a regular annuity from the government. I am planning to move to Brazil this coming year. If I have my monthly annuity sent to a bank in Brazil I want to know about my tax payment obligations both here and in Brazil. Do I pay one or both? What are the amounts. What

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Reply #1 Mark (63.176.159.178) -

You need to check the rules in Brazil VERY carefully. Brazil is like the US and taxes its residents on their WORLDWIDE income. You need to find out if your retirement will be considered income by Brazil. The US will probably give you a credit for the taxes paid to Brazil, so after ALL THE PAPERWORK is done, you end up paying the total of the highest rate between the countries.

Why not pick a country more friends, that does not out of country income of it's residents? Uruguay, Panama, Costa Rica (that might be changing in Costa Rica)?


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