Brazilian Companies Send Record Eighteen Billion Dollars Abroad to Avoid New Tax
Brazilian companies sent a record eighteen billion dollars in profits abroad in December. This surge occurred ahead of a new ten percent withholding tax.
Insights:
Companies in Brazil 
BRremitted a record $18 billion in corporate profits and dividends abroad in December 2025, more than doubling the $8.8 billion sent overseas in the same month of 2024. This massive outflow represents the largest monthly figure in the monthly series provided by the central bank since it began in 1995. The movement was largely driven by the implementation of a new 10% withholding tax on all profit remittances that took effect in January 2026. Financial analysts noted that this significant shift in capital movement had immediate effects on the Bovespa Index and influenced the valuation of the US Dollar / Brazilian Real exchange rate.
BRremitted a record $18 billion in corporate profits and dividends abroad in December 2025, more than doubling the $8.8 billion sent overseas in the same month of 2024. This massive outflow represents the largest monthly figure in the monthly series provided by the central bank since it began in 1995. The movement was largely driven by the implementation of a new 10% withholding tax on all profit remittances that took effect in January 2026. Financial analysts noted that this significant shift in capital movement had immediate effects on the Bovespa Index and influenced the valuation of the US Dollar / Brazilian Real exchange rate.
