SISCOSERV is a system instituted in 2012 by the Brazilian Federal Revenue – RFB – and the Ministry of Development, Industry and Foreign Trade – MDIC, in the Portuguese acronym – where the taxpayers residing and domiciled in Brazil need to register all their purchase and sale transactions with residents and domiciled abroad involving services, intangibles and other operations that produce property variations.
Where a physical manifestation of a person providing service to another occurs
When there is no physical manifestation; something is transferred to someone.
The ones not framed in any of the ones above; mixed operations (with product and service, ex.: meal services), financial operations, leasing, franchising, factorings, etc.
Therefore, all the transactions (where a party is residing in Brazil and the other is residing abroad) of sale and purchase of services, intangibles and other operations producing fluctuation in the properties need to be registered before the SISCOSERV, whether they are:
- Consumed in Brazil (ex.: a foreigner staying in a hotel in Brazil);
- Provided in Brazil (ex.: a foreign technician providing an installation service in Brazil);
- Consumed abroad (ex.: a Brazilian having a meal abroad);
- Provided abroad (ex.: a Brazilian consultant providing service abroad);
- Occurred without displacement of any of the parties (ex.: software acquisition, through the internet, from a foreign company);
It shall be highlighted that the obligation to register before the Siscoserv is ALWAYS of the person or company residing in Brazil.