The Brazilian Federal Revenue Secretary has announced that it anticipates receiving 44 million Income Tax declarations for the 2026 tax year, which pertains to income earned in 2025. The submission period for these declarations will begin on March 23 and continue until May 29. Taxpayers who fail to submit their declarations by the deadline will face a minimum fine of R$ 165.74, with potential maximum penalties reaching up to 20% of the Income Tax owed.

Last year, approximately 43.58 million individuals successfully filed their Income Tax declarations within the legal timeframe. Including those who submitted after the deadline, the total number of declarations rose to about 45.64 million. This reflects a slight increase in compliance, indicating that more taxpayers are becoming aware of their obligations regarding Income Tax declarations in Brazil.

The announcement also clarifies who is mandated to file a declaration. This includes individuals who earned taxable income exceeding R$ 35,584 over the past year, as well as those who received exempt, non-taxable, or solely source- taxed income surpassing R$ 200,000. Additionally, any individuals who realized capital gains from selling assets in 2025 are required to declare such information as well, highlighting the broad scope of the reporting requirements in Brazil's income tax system.