São Paulo – The impact of double taxation on investment flows will be discussed at a lecture at the Arab Brazilian Chamber of Commerce headquarters in São Paulo on the 15th. The taxation attorneys Luiz Felipe Centeno Ferraz and Flávio Mifano, from law firm Mattos Filho, will expound on how taxes levied twice interfere with Brazilian investment abroad and foreign investment in Brazil.
According to Ferraz, the Provisional Measure 627 is under discussion at this time and will be voted by the National Congress in late May before being passed as a law. It sets forth that Brazilian investment, even in countries with which Brazil sustains anti-double taxation agreements, will pay taxes on both ends. According to the attorney, whenever a business pays taxes twice, they lose competitiveness abroad.
Ferraz claims double taxation discourages Brazilian investment on the international market. The Brazilian government believes that by spending money overseas, companies are investing in another country instead of domestically. However, in practical terms, the attorney says, these companies still own manufacturing plants in Brazil. They are merely expanding into other countries, whilst keeping their domestic activities.
Attorney Mifano will speak on the many possibilities for international investment in Brazil, such as foreign direct investment (FDI), the capital market, and Equity Investment Funds, and what taxes are levied on each. According to him, there is no single best type of investment from a taxation standpoint; there is a better suited alternative for each deal and each situation.
Ferraz specializes in tax law with an emphasis on business tax restructuring. His work involves investment, mergers and acquisitions involving public and private companies, and international financial operations. Mifano provides advisory services on tax-related issues involving partnerships, and national and international capital markets.
Registration for the lecture is free of charge but openings are limited. The event is part of the Arab Brazilian Chamber Lecture Cycle, which has featured other speakers on economics, business and even culture, including the economist José Roberto Mendonça de Barros and historian Arlene Clemesha.
Service
Lecture on the Impact of Double Taxation on Investment Flows
Speakers: Luiz Felipe Centeno Ferraz and Flávio Milano
April 15th, Tuesday, at 7 pm
Paulista Ave., 326 – 11th floor – São Paulo – SP
Information: +55 (11) 3147-4066 or members@ccab.org.br
*Translated by Gabriel Pomerancblum
