Brazil vs Portugal
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
π§π· Brazil β State & Municipal Taxes
Brazil has one of the world's most complex tax systems. States levy ICMS at 7%β18% varying by state. Municipalities levy ISS (services tax) at 2%β5% and IPTU (urban property tax). A sweeping tax reform (EC 132/2023) is gradually replacing ICMS/ISS with unified IBS and CBS taxes through 2033. States impose ITCMD (inheritance/gift tax) up to 8%.
π΅πΉ Portugal β Municipal & Regional Taxes
Portugal's 18 districts and 308 municipalities levy a municipal IRS surcharge (Derrama Municipal) of up to 1.5% of taxable income on residents. Municipalities also apply the Derrama Municipal on corporate profits (up to 1.5%). Madeira and Azores autonomous regions have their own lower tax regimes: Madeira has a 14.7% corporate rate in the MIBC (international business centre). Real estate transfer taxes (IMT) are municipal. The NHR (Non-Habitual Resident) regime attracted many foreigners until 2024 when it was replaced by IFICI.
Brazil vs Portugal: Key Tax Differences (2026)
π° Income Tax: π΅πΉ Portugal has a higher top income tax rate (0β27.5% vs 13.25β48%). π§π· Brazil is more favourable for high earners.
π VAT/Sales Tax: Brazil has a higher consumption tax (~27.5% combined vs 6β23%).
π’ Corporate Tax: π΅πΉ Portugal offers a lower corporate rate (19% vs 34%), which can influence business location decisions.
π Capital Gains: π§π· Brazil taxes investment gains at a lower rate (22.5% vs 28%), benefiting investors.