Brazil agribusiness tax deadline for innovation incentives

Agribusiness companies in Brazil have until August 31 to declare research and innovation projects to the federal government to access tax benefits under the Lei do Bem (Law No. 11,196/2005). To utilize these incentives, companies under the Lucro Real tax regime must submit accountability reports for technological development funds to the Ministry of Science, Technology and Innovation (MCTI).

The benefits include a reduction of 60% to 80% in R&D expenses within the calculation base for IRPJ and CSLL taxes, depending on the number of researchers hired. Additionally, there is a 50% reduction in IPI tax for the acquisition of laboratory and testing equipment. In the previous cycle, over 4,200 companies applied R$ 51.59 billion in innovation, resulting in R$ 11.98 billion in tax incentives.