Income Tax 2024: What should I do if I missed the deadline?

Taxpayers should submit their returns as soon as possible to prevent further penalties

Every year, thousands of taxpayers miss the deadline for submitting their income tax returns to the Brazilian Federal Revenue Service. In 2024, the deadline was May 31. If you missed it, here are the steps you can take to get back in good standing and avoid further complications.

Understanding the consequences 

Individuals who have filed a past-due return or failed to submit a mandatory return are subject to a fine of 1% per month of the income tax due, calculated based on the amount subject to taxation. The applicable fine ranges from BRL 165.74 to 20% of the tax due.

Failing to file the return can also result in the taxpayer’s Individual Taxpayer Registration Number (CPF) being marked as irregular with the Federal Revenue Service. This can make it difficult to obtain loans and financing and may result in other shortcomings.

Get back in good standing right away 

Taxpayers who missed the filing deadline should first rectify their tax situation. To do so, one must follow the procedures to fill in the return properly and submit the document to the tax authorities. Once filed, the Federal Revenue Service will automatically calculate the fine due, which should be paid using the corresponding Federal Revenue Payment Form (DARF). It is important to make this payment as soon as possible to prevent additional interest.

What happens if there are amounts to be refunded 

If a taxpayer was entitled to a refund but has not paid the fine by the due date, the fine will be deducted from the refund amount, adjusted for inflation. 

Amend your return for any errors 

If you realize you made a mistake in your first submission, even if the return was filed past the deadline, you still have the option to amend it. Rectifications can be made directly through the generator program within five years of the filing date. 

Ensure your tax compliance 

For taxpayers with complex tax situations, such as a large volume of assets and investments in Brazil or abroad, accounting support is highly advisable. Specialists can provide peace of mind by managing these complexities effectively.

At DPC, a dedicated department for individuals helps taxpayers meet tax authorities' requirements. This includes preparing or amending annual returns and monitoring notifications and tax proceedings. You can rely on this support for your compliance needs: dpc@dpc.com.br