Brazil – United States Tax Treaty
The Brazil-United States tax treaty caps withholding on dividends at 0%, and interest at 15%. Royalty rates vary by category, from 15% on copyright to 25% on film and television. Private pensions are taxable only in the country of residence, with no withholding at source. This is one of 25 active treaties in Brazil's network and one of 64 in United States's. The general dividend rate of 0% is below the median in both countries' treaty networks (Brazil: 15%, United States: 15%).
Verified data
Receita Federal do Brasil (gov.br/receitafederal) - International Tax Agreements (Treaty list verified April 2026. Rates from individual treaty texts (Articles 10-12). Brazil has 0% WHT on dividends (dividends are taxed at corporate level only). Brazil has approximately 37 treaties in force.)
Withholding Rate Summary
Source: Brazil Treaty Reference| Income Type | Treaty Rate | Statutory Rate (Brazil) |
|---|---|---|
| Dividends (general) Portfolio investors | 0% | 0% |
| Dividends (qualified) Beneficial owner is a company holding >= 10% of voting stock | 0% | 0% |
| Interest Bank interest, bonds, loans | 15% | 15% |
| Royalties (avg) Patents, copyright, know-how, film/TV | 17.5% | — |
| Pensions Private pension distributions | 0% | — |
| Social Security Government social security benefits | 0% | — |
“Treaty Rate” is the maximum withholding permitted under this treaty. The actual effective rate may be lower if domestic law provides a more favorable rate independently. “Statutory Rate (Brazil)” shows the rate that applies when no treaty benefit is claimed. Qualified dividend rate requires: Beneficial owner is a company holding >= 10% of voting stock.
Dividends
The general dividend rate of 0% applies to portfolio investors. A reduced rate of 0% is available when beneficial owner is a company holding >= 10% of voting stock. Without the treaty, the statutory withholding rate on dividends is 0%.
Source: Brazil Treaty Reference
Interest
Interest payments (bank interest, bonds, loans) are subject to 15% withholding under this treaty, compared to the 15% statutory rate. This represents a no reduction from the statutory rate.
Source: Brazil Treaty Reference
Royalties
Royalty withholding rates vary by the type of intellectual property. This treaty distinguishes 4 categories, with rates ranging from 15% to 25%.
Source: Brazil Treaty Reference
Pensions & Social Security
Private pension distributions are taxable only in the country of residence, with no withholding at source. Government social security benefits are exempt from source-country withholding.
Source: Brazil Treaty Reference
Comparative Context
🇧🇷Brazil's Network
Among Brazil's 25 active treaty partners, the 0% general dividend rate ranks 7th (median: 15%).
| Partner | Rate |
|---|---|
| India | 0% |
| South Korea | 0% |
| Netherlands | 0% |
| United States (this treaty) | 0% |
| Japan | 12.5% |
| Switzerland | 15% |
| Chile | 15% |
🇺🇸United States's Network
Among United States's 64 active treaty partners, the 0% general dividend rate ranks 2nd (median: 15%).
| Partner | Rate |
|---|---|
| United Arab Emirates | 0% |
| Brazil (this treaty) | 0% |
| Hong Kong | 0% |
| Malaysia | 0% |
| Saudi Arabia | 5% |