Taxes for US-based companies selling software in Brazil?

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We are a US-based company that makes productivity/education software-as-a-service. Our users can purchase subscriptions for a Premium account giving them complete access to our software. Our software solutions are entirely cloud-based (no downloads, no hardware).
We are about to launch our paywall in Brazil, where we have many happy free customers. We have a payment provider that will allow us to charge for subscriptions in Brazilian Reals, and will remit the funds to us in US Dollars. We do not have a Brazilian corporate entity, no office in Brazil, and no Brazilian bank accounts or employees.
Are there any mandatory sales tax / other taxes or fees we are responsible for charging to our end users in Brazil?

3 Attorney Answers

Best Answer
Perhaps you should be posing this question to a Brazilian tax attorney.
As John Corrigan implies, I would be very surprised if there are not a slough of taxes that your company may need to charge Brazilian end users. In addition, since you are selling a good or service in Brazil, you likely will be require to register as a foreign corporation doing business in that country. To make sure that you are following all applicable tax, business, and regulatory requirements, you should hire an international business tax attorney experienced at handling U.S.-Brazilian cross-border trade. It also wouldn't hurt for that attorney to have expertise in the intellectual property field. I would give Google a try and see what you come up with.
Good luck!
You absolutely need someone in Brazil to guide you through this issue or to find an American attorney with experience in cross-border transactions. Contact your local bar association for a referral or contact a lawyer locally to help you guide you to someone that can help you.

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