Brazil: State-level sales tax (ICMS) reporting by banks and financial institutions

Banks and financial institutions must file the DIMP report by July 2022.

Banks and financial institutions must file the DIMP report by July 2022.

Banks and financial institutions have a July deadline for filing an information return (Declaração de Informações de Meios de Pagamentos—DIMP) regarding their liabilities for a state-level sales tax (Imposto sobre Circulação de Mercadorias e Serviços—ICMS).

Accordingly, this year, banks and financial institutions must file the DIMP report by July 2022, and reflect transactions that occurred from January 2022.

ICMS Agreement No. 207/2021 amended ICMS Agreement 134/2016 and provides for the reporting of ICMS information by banks and financial institutions, regardless whether or not they are part of the Brazilian payment system (Sistema de Pagamentos Brasileiro—SPB).

The measure specifically concerns transactions carried out with debit and credit cards, store cards (private label), transfer of funds, and other electronic payment instruments, when the payment recipients are legal entities or individuals.

Read an April 2022 report (Portuguese) prepared by the KPMG member firm in Brazil

 

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