By Juliana Mitico Valente Riccardi
Lawyer & Global Mobility Expert
Partner at Mitico Advogados and BR-Visa
A migrant may be administrator, manager or execute another commanding position in a company in Brazil. Although the residence in Brazil is no longer mandatory for administrators, directors and board members, the migrant and/or the company and its stakeholder may understand vital that this position is occupied by a Brazilian resident. For this case, the migrant must have the adequate residency authorization; therefore, comply with all the legal requirements.
Applicable Permit
Brazil has a specific residence permit for migrants that come to Brazil to become administrator, manager, director or executive with management powers in a company in Brazil.
Applicable legislation
Normative resolution nº 11, from the Brazilian National Immigration Council, of December 1st, 2017, disciplines the granting of this residence authorization for migrants that come to Brazil.
Main Requirements
The main requirements are:
i. formal indication of the migrant for a commanding position in a Brazilian company through a valid corporate act, duly registered in a Commercial Registry or in a Registry Office;
ii. that the Brazilian company that will indicate the migrant for a commanding position has received a foreign investment of:
(i) at least R$ 600,000.00 (six hundred thousand reais); or
(ii) at least R$ 150,000.00 (one hundred fifty thousand reais), if the company has a business plan to generate at least ten new jobs within two years.
Peculiarities
The migrant residence authorization is tied to the company and to the exercise of the commanding position designated in the corporate act. However, such migrant may concurrently assume other management duties in other companies of the same economic group, provided that prior authorization is granted by the Ministry of Justice.
For commanding positions in an insurance company, capitalization company, open private pension entity, financial institution and other institutions authorized to operate by the Central Bank of Brazil, it is necessary to present specific complementary documentation from competent regulatory entity.
The barrier of a residence permit for commanding position on Brazilian company will become a tax resident in Brazil and subject to all Brazilian tax obligation as soon as this migrant enters the country with such permit or obtains the work permit if he is already in the country.
Timeframe – Issuance and Validity
Issuance
It takes around 30 days for the residence permit to be approved, counting from the date the process is filled.
Validity
The validity period of this residency authorization for migrants that will be in commanding positions in Brazilian companies may be indefinite or limited to the deadline established in the corporate documents of the Brazilian company.
The validity period may be renewed indefinitely, subject to the same condition.