According to Resolution No. 3.854 published by the Brazilian National Monetary Council in 2010, individuals and legal entities resident, domiciled or headquartered in Brazil who possess an amount equal to or greater than US$ 100,000.00 (one hundred thousand US dollars), or its equivalent in other currencies, in assets and rights located overseas, are obliged to present a return statement to the Brazilian Central Bank named “Declaração de Capitais Brasileiros no Exterior (CBE)”.
In accordance with Circular No. 3.624/2013 of the Brazilian Central Bank, the return related to the December 31, 2016 cut-off date must be submitted by 6:00 pm on April 5, 2017.
If the assets and rights located overseas are equal to or greater than US$ 100,000,000.00 (one hundred million US dollars), or its equivalent in other currencies, the return must also be filed quarterly during 2017.
The fines for failure to comply with these rules range from 1% to 10% of the amount subject to the return, or from R$ 25,000.00 (twenty-five thousand reais) to R$ 250,000.00 (two hundred fifty thousand reais), whichever is the lowest.