IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Outflow (subsidised)

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 21 Aug 2009 | Removal date: 20 Aug 2014

Tax-based export incentive

Decree 6.945, signed on the 21st of August, 2009, by President Luiz Inácio Lula da Silva, reduced social security contributions for exporters of information and communication technology services. Whereas the general contribution for the national social security system is 20% of total payroll value, exporters of IT services are eligible for a lower rate. The tax reduction varies with the firm's export performance, and firms exporting 100% of their services will pay only 10% of total payroll in social security contributions.
 
Included in the definition of IT and communication services are the following activities (Decree 6.945, signed on the 21st of August, 2009):

  • Systems analysis and development
  • Data processing and related activities
  • Creation of computer software, including electronic games
  • Licensing or the granting of a license for the use of licensed material
  • Information technology consulting
  • Support services
  • Creation and maintenance of electronic web pages
  • Call center services

The new legislation had a temporary character and only applied for five years.

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

Please report this page in case you detect an inaccuracy in its content.