BCB Resolution No. 280 Regulating Article 1 of Law No. 14,286 of December 29, 2021 Regarding the Definition of Resident and Non-Resident for Individuals and Legal Entities

BCB RESOLUTION NO. 280,
OF DECEMBER 31, 2022

Regulates
Article 1 of Law No. 14,286, of December 29, 2021, regarding the definition of
resident and non-resident to be applied for individuals and legal entities.

The Collegiate Board of the Central Bank of Brazil, in an extraordinary session held on December 30 and 31, 2022, based on the sole paragraph of Article 1 of Law No. 14,286, of December 29, 2021,

R E S O L V E S:

Article 1. This Resolution establishes the definition
of resident and non-resident for the purposes of Law No. 14,286, of December 29, 2021, which provides for the Brazilian foreign exchange market, Brazilian capital abroad, foreign capital in the country, and the provision of information to the Central Bank of Brazil.

Article 2. An individual is considered a resident:

I - who resides in Brazil on a permanent basis;

II - who is absent from the country to provide services from abroad to the Brazilian Federal Public Administration;

III - who is in Brazil with residence authorization deferred for an indefinite period, from the date of entry into the country;

IV - who is in Brazil with a temporary visa:

a) working with an employment bond or developing economic activity in the country, from the date of entry into the country; or

b) having stayed for more than 12 (twelve) consecutive months in Brazil, provided there is no manifestation by the individual to the institution authorized to operate in the foreign exchange market with justification to reduce or increase this period;

V - a Brazilian who, in the capacity of a non-resident, enters the country with definitive intent, from the date of entry into the country;

VI - a resident who temporarily leaves the national territory, during the first 12 (twelve) consecutive months of absence, provided there is no manifestation by the individual to the institution authorized to operate in the foreign exchange market with justification to reduce or increase this period.

Article 3. An individual is considered a non-resident:

I - who does not fit into the hypotheses provided in Article 2;

II - who permanently leaves the national territory, from the date of exit from the country;

III - who, in the capacity of a non-resident, provides services from Brazil as an employee of a foreign government, subject to the provisions of item V of Article 2;

IV - a resident who is absent from Brazil on a temporary basis, from the day following that on which they complete 12 (twelve) consecutive months of absence, provided there is no manifestation by the individual to the institution authorized to operate in the foreign exchange market with justification to reduce or increase this period.

Article 4. Regarding legal entities, it is considered:

I - a resident an entity domiciled or headquartered in Brazil;

II - a non-resident an entity domiciled or headquartered abroad that does not fit into the hypothesis of item I of this
article.

Article 5. It is the exclusive responsibility of the
individual to provide the justification contained in the manifestation provided for in this Resolution and collected by the institution authorized to operate in the foreign exchange market.

Article 6. This Resolution enters into force on the
date of its publication.

Otávio Ribeiro Damaso

Director of Regulation