Foreign Capital Census Statement must be submitted to the Central Bank of Brazil until August 15, 2016
On June 17, 2016, the Central Bank of Brazil published Circular No. 3.795 concerning the Census of Foreign Capital in Brazil.
Through the Census of Foreign Capital, the Central Bank of Brazil expects to collect information for compiling statistics regarding:
I – the corporate structure of Brazilian-based legal entity or investment fund and specification as to foreign shareholders or investors;
II – economic and financial information of Brazilian-based legal entity or investment fund; and
III – information on debt with foreign creditors.
Pursuant to the Circular, this year the Foreign Capital Census is mandatory for:
I – Brazilian-based legal entities that had direct foreign participation in its share capital, in any amount, in 2015;
II – investment funds that had foreign shareholders in 2015; and
III – Brazilian-based legal entities that had a total outstanding balance of short-term debt (payable in up to 360 days) with foreigners equal to or above USD 1 million (one million US dollars) in 2015.
Also pursuant to the Circular, the following are dismissed from the Foreign Capital Census:
I – individuals;
II – bodies of the direct administration of the Union, States, Federal District and Municipalities;
III – indebted legal entities of foreign credit transfers granted by institutions based in Brazil; and
IV – non-profit entities maintained by contribution of non-residents.
The deadline for delivering the Foreign Capital Census statement to the Central Bank of Brazil is August 15, 2016, at 6pm.
Failure to provide the required information or the provision of information that is false, incomplete, or inaccurate, that is overdue or non-conforming to the terms and conditions laid down by the Central Bank of Brazil will be penalized according to the dispositions set out in Resolution No. 4104 of the Central Bank of Brazil.
Cerqueira Leite Advogados Associados is available to assist you in fulfilling this obligation.
Nelson F. Kheirallah Fº
Head of Corporate