For statistical purposes of the total external assets and liabilities of the Brazilian economy, the Quarterly Declaration of Brazilian Capitals Abroad (DCBE) helps to assess the degree of internationalization of the Brazilian economy and protective measures for the country’s external debt.

Who must submit the Quarterly Declaration of Brazilian Capitals Abroad?

The Quarterly Declaration of Brazilian Capitals Abroad is mandatory for residents of Brazil who hold assets (assets and rights) abroad (including real estate, deposits, availability in foreign currencies, among other assets) that total an amount equal to or greater than the equivalent to US $ 100,000,000.00 (one hundred million US dollars) as of September 30, 2022.

These capitals must be declared to the Central Bank of Brazil (“BACEN”), annually or quarterly, according to the framework. The Quarterly Declaration of Brazilian Capitals Abroad is mandatory for individuals or legal entities resident, domiciled or headquartered in Brazil, holding abroad, assets in which the total amount is:

• • US$ 1.000.000,00 (one milion dollars), or equivalent in other currencies, on the base date of December 31st– Annual CBE; or
• • US$ 100,000,000.00 (one hundred million United State dollars), or equivalent in other currencies, on March 31st, June 30th and September 30th, of every year – CBE Quarterly.

In cases where the amount subject to the declaration is susceptible to change resulting from an audit process in financial statements, the declarant must file his declaration within the regular term and, within 60 (sixty) days after the expiration of this term, update his declaration with the definitive, correct and complete information.

Is there a fine for those who do not submit the Quarterly Declaration of Brazilian Capitals Abroad?

The delivery of the declaration beyond the deadline, as well as the delivery with errors or vice, or the non-delivery of the declaration may entail fines ranging from BRL 2,500.00 (two thousand and five hundred reais) to BRL R$ 250,000.00 (two hundred and fifty reais), which may be increased up to 50% in some cases.