Federal Revenue Service postpones imposition of DIRBI-related fines

The Brazilian Federal Revenue Service has issued Normative Ruling No. 2,204/2024, postponing the imposition of fines for inaccuracies in the submission of the Tax Incentives, Reliefs, Benefits and Exemptions Report (DIRBI). As a result, all penalties imposed for the periods from January to July 2024 will not be levied until September 21, 2024.

It should be noted that the original filing deadline for the months of January to May has not been extended, having expired on July 20.

The DIRBI must be submitted by all legal entities that have benefited from the tax incentives listed in the Annex of Normative Ruling 2,198/2024 from January 2024 onwards.

Monthly submission of the DIRBI

The DIRBI must be submitted by the 20th day of the second month following the month of reference.

• Further reading: DIRBI: 5 Q&A about the new requirement due by July 20

Penalties

Starting in September 2024, any legal entity that fails to submit the DIRBI on time or submits it past the legal due date will be subject to a fine calculated per month or fraction thereof, based on the company’s gross revenue for the period (capped at 30% of the sum of the tax benefits received):

• 0.5% for gross revenues up to BRL 1 million;
• 1% for revenues between BRL 1 million and BRL 10 million; and
• 1.5% for revenues exceeding BRL 10 million.

Additionally, regardless of the aforementioned penalties, a fine of 3%, not less than BRL 500,00 will be imposed for any omitted or misreported amounts.

Tax compliance

Domingues e Pinho Contadores assists companies in complying with this and other tax obligations, ensuring full compliance. You can rely on our support for all your tax compliance needs:  dpc@dpc.com.br.