Federal Revenue Finds R$1.2 Billion in Corporate Tax Evasion

RIO DE JANEIRO, BRAZIL – The Federal Treasury reported on Friday, August 9th, in Brasília, that it has initiated one more stage of legal actions against corporate taxpayers that failed to pay enough Corporate Income Tax and Social Contribution on Net Profit (CSLL).

The total evidence of evasion found in this operation, for the calendar year of 2015, is approximately R$1.2 billion (US$300 million).

According to the Treasury, letters were sent to 12,171 companies throughout the country, advising on the amounts of declared and collected debts.

“The inconsistencies found by the tax authorities may be found in a statement attached to the letter, and the guidelines for self-regulation in the body of the letter itself,” said the Treasury.

To confirm the accuracy of the letters sent, the Federal Treasury forwarded a message to the taxpayers’ mailbox, which can be accessed through the e-CAC system.

The Treasury advises taxpayers who have not yet been notified when identifying a mistake in the provision of information to the tax authorities, these may also promote voluntary compliance, thus avoiding inspection procedures that may result in an ex-officio fine of 75 percent, in addition to the accrual of default interest.

According to the Treasury, the evidence found in the project resulted from cross-checking electronic information, with the aim of verifying the consistency between the information provided by the taxpayer’s tax bookkeeping and accounting records and the return showing the tax debt.