What NetSuite Users Need to Know About VAT Rates in Brazil

International corporations accustomed to simple value-added tax (VAT) rates are in for a rude awakening when opening up shop in Brazil. 

The largest economy in South America is ripe with opportunities for ambitious corporations based overseas, but only if they can navigate the country’s complicated and every-changing VAT rates.  

What makes calculating value-added taxes so complex in Brazil? Let’s explore that question in today’s blog. 


Why Brazil’s VAT Rates are so Complicated 

International businesses operating subsidiaries in Brazil often find themselves confused and frustrated when trying to calculate value-added tax rates. That is because Brazil collects value-added taxes at multiple levels, including: 

  • National VAT 
  • Regional VAT 
  • State VAT
  • Municipal VAT 

However, that is not all! Brazilian VAT rates also vary depending on the types of items or services a company is selling, where the item or services are being delivered and even the customer’s industry. 

Learn More About LatamReady’s Solution for Brazil VAT Rates: https://youtu.be/dh-xu7ea2LY

Constant Change is Confusing

To add even more complexity, VAT rates in Brazil often change annually or in some cases even monthly

Imagine investing substantial financial and human resources to ensure your subsidiaries accurately calculate value-added taxes in Brazil — only for the VAT rates to change just a month or two later! 

Your valuable resources are better off invested in strategies to grow your business. Let the experts at LatamReady handle your all your tax compliance problems. 

Carlos Zumaeta (right), LatamReady Founder & CEO

How LatamReady Solves the Problem 

The LatamReady SuiteApp is the one and only solution for services and inventory item tax rules in 18+ Latin American countries, including Brazil. 

The Built-for-NetSuite SuiteApp is powered by LatamHub, an innovative tax compliance tool that directly connects NetSuite to local tax information in Brazil and across Latin America. LatamHub automatically updates Brazil’s VAT rates for services and inventory items, helping automate complicated back-office accounting processes. 

Position your multi-Latin company for success in Brazil and throughout the region by partnering with the expert team at LatamReady. Visit www.LatamReady.com or call one of our sales reps at +1-786-600-2641 to get started. 

Taxes in Brazil | What has Changed in 2019

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Published by LatamReady: Oracle NetSuite Partner

Founded in 2009, we have over a decade of experience implementing Oracle NetSuite in multiple industries and helping international corporations unlock growth with the LatamReady SuiteApp, an integrated Tax Compliance solution within Oracle NetSuite for 18+ countries in Latin America, including Brazil, Mexico, Colombia, Chile, Peru, Argentina and more!

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