Taxation of profits earned abroad by legal entities domiciled in the country

Normative Instruction RFB nº 1.972, of August 27, 2020 - (DOU of 28-Aug-2020) - Alters Normative Instruction RFB nº 1.520 / 2014, which provides for the taxation of profits earned abroad by legal entities domiciled in the Country, with effect from September 01, 2020. According to the new wording, if the invested legal entity is located in a country with which Brazil does not maintain a treaty or act with a specific clause for the exchange of information for tax purposes, consolidation will be allowed if the parent company in Brazil makes the bookkeeping available in the middle support documentation.