RFB Normative Instruction No. 2.198, dated June 17, 2024, established the Declaration of Tax Incentives, Waivers, Benefits and Immunities (DIRBI), whose creation had already been set out in Provisional Measure No. 1.227, dated June 4, 2024, imposing on legal entities that benefit from tax incentives the obligation to complete a new electronic filing requirement.
Mandatory Applicability
It is important to note that the legal entities subject to DIRBI are those holding Tax Incentives, Waivers, Benefits and Immunities listed in the exhaustive list of 16 benefits contained in the Sole Annex of the Normative Instruction, among which we highlight PERSE (Emergency Program for the Recovery of the Events Sector), REIDE (Special Incentive Regime for Infrastructure Development) and the Payroll Tax Relief program.
The new electronic obligation must be filed on a centralized basis by the headquarter establishment, by private legal entities, including those treated as tax-exempt, consortia that carry out legal transactions in their own name, including in the hiring of individuals or legal entities, with or without an employment relationship. In the case of Sociedades em Conta de Participação (SCPs), DIRBI must be filed by the managing partner.
Micro-enterprises, small businesses under the Simples Nacional regime and Individual Microentrepreneurs (MEIs) are exempt from filing, as are legal entities and entities that are newly established, for the period between the month their constitutive documents are registered and the month prior to their registration with the National Registry of Legal Entities (CNPJ).
Filing Method and Deadline
DIRBI must be prepared and submitted using a dedicated form through the Virtual Taxpayer Service Center (e-CAC).
Filing is required on a monthly basis, by the 20th day of the second month following the assessment period. The first filing deadline is July 20, 2024, covering the period from January to May 2024.
DIRBI comes into effect on July 1, 2024.
Information Required in the Electronic Declaration
DIRBI will include information relating to tax benefits on federal taxes and contributions that were not collected due to the concessions enjoyed by legal entities, as listed exhaustively in the Sole Annex of the Normative Instruction.
Penalties
Legal entities will be subject to penalties in the event of failure to file or late submission of DIRBI, calculated per month or fraction thereof, levied on the gross revenue for the period, according to the following percentages and brackets:
- 0.5% (five tenths of one percent) on gross revenue of up to BRL 1,000,000.00 (one million reais)
- 1% (one percent) on gross revenue from BRL 1,000,000.01 (one million reais and one cent) to BRL 10,000,000.00 (ten million reais), and
- 1.5% (one and five tenths of one percent) on gross revenue exceeding BRL 10,000,000.00 (ten million reais).
The penalty for failure to file or late submission of DIRBI is capped at 30% of the value of the tax benefits enjoyed.
A fine of 3% (three percent), no less than BRL 500.00 (five hundred reais), will be applied on values omitted, inaccurate or incorrectly declared in DIRBI, without prejudice to the penalties related to failure to file or late submission.
Final Remarks
DIRBI undeniably represents a new governance challenge for companies, adding complexity, cost and bureaucracy to compliance process management, given the tight deadline for preparing the electronic filing, the substantial penalties imposed in cases of non-compliance with the completion instructions, and the fact that this information is already contained in other ancillary obligations under SPED.
Given the impact on companies’ day-to-day operations and the representations made by accounting bodies to the RFB, further developments on this matter are expected in the coming days.
Need assistance completing your DIRBI? Get in touch with us!
[Contact Us]
