Income Tax 2023: how to declare loan and debt? – 05/02/2023 – Market

More than 70 million Brazilians have their names negative for debt, according to March data from Serasa. Those who are in this situation and took out a payroll loan, ended 2022 in debt on their credit card or are paying a personal credit need to inform the Federal Revenue, if they are required to declare the 2023 Income Tax.

The debt must be included in the statement if the amount exceeds BRL 5,000. If you have granted a loan, it must also be reported to the Revenue if it exceeds this amount.

The income tax return must be submitted by 11:59 pm on May 31st. The taxpayer obliged to settle accounts that do not meet the deadline will pay a fine. The minimum amount is R$ 165.74 and can reach 20% of the tax due in the year.

How to declare loan you took

If you have applied for a payroll loan, personal credit, requested a duplicate, borrowed money from a family member or friend, or are in debt on your credit card or overdraft, the information must be provided to the Federal Revenue Service.

Tax attorney Jonathas Lisse, from VRL Advogados, explains that the declaration needs to be made based on the income report, which is sent by the company that provided the money. “If the bank or the finance company did not send it, you must request it. But do it in advance, as they usually take five working days to send it by mail.”

If you don’t have a contract, which usually happens in cases of loans to individuals, it is important that you and the borrower declare the same amount, as the Revenue will cross-reference the data. If there is a divergence, there is a risk of both going to the fine mesh.

See the step by step:

• In “Declaration Sheets”, click on “Real Debts and Encumbrances” and on “New”

• The code will depend on who lent the money: 11 (banks), 12 (financial and credit societies), 13 (other companies), 14 (individuals), 15 (loan you took out with companies abroad) and 16 (other debts that do not fit the other codes)

• In breakdown, inform the loan amount, payment method, contract number (if any) and identify who borrowed with name and CPF or CNPJ

• If the loan started in 2022, leave the field “Situation on 12/31/2021” blank, fill in the total amount paid in “Amount paid in 2022” and how much debt remains to be paid in “Situation on 12/31/2022”

• If the loan is prior to 2022, the “Situation on 12/31/2021” field will have the amount paid up to that date, and fill in the other two fields as mentioned above. If the loan was paid off in 2022, leave the “Situation on 12/31/2022” field blank

• If the loan started in 2022 and was paid in full in 2022, leave the fields “Situation on 12/31/2021” and “Situation on 12/31/2022” blank and fill in what was paid in “Amount paid in 2022”

• For each loan, you must open a new file

In the case of debts incurred abroad, Lisse recommends that the taxpayer request the company for the outstanding balance by the end of 2022 so that it can declare it. “The company is not obliged to send you the report, but it knows the amount you owe. All you have to do is request the balance”, explains the lawyer.

Does the lender have to declare?

If the taxpayer is obliged to declare, it is necessary to inform the loan granted to another person. Both sides have to keep the documents that prove the operation, even if a contract has not been made, to present to the Revenue, if requested.

See the step by step to declare:

• In “Declaration Sheets”, click on “Assets and Rights” and “New”

• Select group 05 (Loans) and code 01 (Loans granted). Identify whether the loan was given by the holder or dependent, the location and the CPF or CNPJ to whom the money was lent

• In breakdown, inform the loan amount, payment method, contract number (if any) and identify who received the loan with name and CPF or CNPJ

• If the loan started in 2022, leave the “Situation on 12/31/2021” field blank and fill in the amount remaining to be paid in “Status on 12/31/2022”

• If the loan is before 2022, the “Situation on 12/31/2021” field will have the amount due by that date, and fill in the “Situation on 12/31/2022” field with what remains to be paid

• If the loan started in 2022 and was paid in full in 2022, leave the fields “Situation on 12/31/2021” and “Status on 12/31/2022” blank and include the amount that was paid in Breakdown

• For each loan, you must open a new file

In the case of loans that charge interest, the person who received the amount needs to collect the monthly carnet lion. To do so, go to the Federal Revenue’s e-CAC (Virtual Service Center) website and click on “My Income Tax”. Then go to “Access Carnê-Leão” and fill in the data. The Darf (Federal Revenue Collection Document) is issued, which must be paid by the last working day of the following month.

If you have paid monthly, just import the data into the declaration, clicking on “Imports” and selecting “Import Carnê-Leão”. Another option is to manually fill in “Taxable Income Received from Individuals and Abroad by the Holder”. Select “Other Information” and fill in the “Carnê-Leão” column with the Darf amount paid each month.

In the case of loans granted to legal entities, there is a table with the rates that must be informed by the company and are withheld at source.

loan term	tax to be paid
up to six months	22.5%
From six months and a day to 12 months	20%
From 12 months and a day to 24 months	17.5%
Over 24 months	15%

Financing and consortium are not debts

However, not everything is considered debt when declaring. Financing or consortium of property and car, for example, are not reported as debt, as the contract provides for the good as a guarantee, the so-called fiduciary alienation, and it can be taken by the creditor in case of default.

“Although they are debts, they give the asset as collateral, so the Revenue does not consider it as a debt”, says Lisse. Financing and consortium are declared in Goods and Rights

In the case of financing, see the step-by-step

• Select group 01 (Real Estate) or group 02 (Movable Property), choose the code that fits the property or vehicle and define its location (Brazil or abroad)

• Fill in the data of the good with as much information as possible, such as date of acquisition, name and CPF or CNPJ of the seller and the specific data of each. IPTU number, full address, total area in m² or ha, property registration number and notary for the property. License plate, model, make and registration number for the vehicle

• In discrimination, put details of the operation such as down payment, financing (installments already paid), if you used FGTS, name and CPF or CNPJ of the seller, amount paid of other taxes and other information you consider relevant to the Revenue

• In case of purchase in 2022, leave the Status field on 12/31/2021 blank. On 12/31/2022, add up all that was paid up to that date for the good and fill in

If you entered a consortium in 2022, this must be declared to the Revenue, even if it has not yet been contemplated.

• Go to Assets and Rights, select group 99 (Other Assets and Rights) and code 05 (Consortium not contemplated). Define whether it belongs to the holder or the dependent, the location and CNPJ of the administrator

• In breakdown, fill in the number of installments paid in the year, and put the situation on 12/31/2021 and 12/31/2022. If the consortium was already in previous declarations, add the values ​​of the installments paid in 2022 to the amount of 2021

If the consortium has been contemplated or a bid has been made, and the good has been acquired, it is necessary to change the form in Goods and Rights, informing in detail that the consortium has been contemplated or a bid has been made, describing the value and putting all the data of the good acquired, as already informed above. Leave the Status field on 12/31/2022 blank.

Next, the taxpayer needs to open a file in Goods and Rights to communicate the purchase of the good. Follow the same steps explained above, and it is necessary to inform in the discrimination field that the consortium letter of credit was used, entering its data and adding the value in situation on 12/31/2022.