The Statement of Brazilian Capital Abroad (CBE) for the Second Quarter of 2019 may now be sent

Pursuant to the Central Bank Circular 3,624/2013, the Quarterly Statement of Brazilian Capital Abroad (CBE) must be filed by the resident and domiciled individuals and legal entities holding the assets (assets and rights) against non-residents, including real estate, deposits, foreign currency and cash equivalents, among other assets, amounting to or greater than USD 100,000,000.00 or equivalent in other currencies, at the base dates of March 31, June 30 and September 30 of each year.

Deadline of the Second Quarter 2019 CBE

For the amounts referring to the base date June 30, 2019, the deadline to file the statement covers the period from July 31 to 5 September 2019, at 06:00p.m..

What to inform

The statement of assets and rights overseas will include information related to the following modalities:

I. deposit;

II. loan in currency;

III. financing;

IV. finance lease;

V. direct investment;

VI. portfolio investment;

VII. investment in derivative financial instruments;

VIII. other investments, including real estate and other assets.

Note:

• Those responsible for providing information pursuant to this Resolution shall keep the supporting documents of the information provided, for a five years period from the base date of the statement, for presentation to the Central Bank of Brazil, upon request.
• Investment funds, through their managers, must report their total investments.
• The financing modality also includes commercial credit against residents or domiciled abroad.

Penalties

It is noteworthy that non-compliance with the rules subject those responsible to penalties according to the percentages set below, due to the following occurrences:

1. Register or reporting after the deadline: 1% of the amount subject to register or report, limited to BRL 25,000.00. For delays of 1 to 30 days, the penalty will be reduced to 10% of this amount. For delay of 31 to 60 days, the fine will be reduced to 50%.

2. Provide inaccurate or incomplete information: 2% of the amount subject to register or report, limited to BRL 50,000.00.

3. Do not register, report or present the supporting documents of the information provided to Bacen: 5% of the amount subject to register or report, limited to BRL 125,000.00.

4. Providing false information in register or report: 10% of the amount subject to register or report, limited to BRL 250,000.00.

Note:

• For occurrences 1, 2 and 3 above, the penalty may be increased of 50% if the person responsible does not make, correct or complete the register or report when requested by Bacen.
• The deadline for charging the penalty for filing the CBE report after the deadline is five years, starting from the end of the regulatory deadline of each report.