Brazil is Latin America's largest stock market, and it is concentrated in commodities, banks, utilities and a few consumer and industrial champions. Large NYSE-listed ADRs make it easy to own, but returns swing hard with commodity prices, interest rates, politics and the real.
Dividend taxes for U.S. investors
Brazil historically did not tax dividends, but Law 15,270/2025 introduced a 10% withholding tax on dividends paid to non-residents from January 1, 2026. Dividends from profits through 2025 can stay exempt if they were approved by December 31, 2025 and are paid on the original terms by 2028. Many Brazilian companies also pay 'interest on capital' (JCP), which has long been withheld at 15%; Complementary Law 224/2025 raised the JCP rate to 17.5% from 2026, so check how your ADR depositary applies it to foreign holders.
Getting to the treaty rate: No treaty, so there is no reduced rate to claim; the Brazilian tax withheld is final. U.S. taxable investors can generally claim it as a foreign tax credit. Difficulty: Not applicable (no treaty relief).
Qualified dividend status: No treaty, but NYSE-listed ADRs can still qualify under the readily-tradable test. See how foreign dividends qualify.
Estimate what a Brazil dividend nets you with the Withholding Calculator.
Where and when it trades
Main exchange: B3 (Brasil, Bolsa, Balcão)
Local hours: 10:00–17:00 BRT (incl. 16:55–17:00 closing call) from Mar. 9, 2026 while U.S. daylight time is in effect; 10:00–18:00 BRT (closing call 17:55–18:00) from Nov. 3, 2026
In U.S. Eastern Time: 9:00 a.m.–4:00 p.m. ET during U.S. daylight time; 8:00 a.m.–4:00 p.m. ET from Nov. 3, 2026 — B3 shifts its close so it ends with the NYSE either way (Brazil has no DST)
Because the home market is often closed while New York trades, news released overnight shows up in the ADR at the U.S. open. Read more about global market hours.
Well-known U.S.-traded listings
These are some of the most widely held Brazil companies available on U.S. markets, listed as examples of how access works, not as recommendations.
| Company | Ticker | Venue |
|---|---|---|
| Petrobras | PBR | NYSE |
| Vale | VALE | NYSE |
| Itaú Unibanco | ITUB | NYSE |
| Banco Bradesco | BBD | NYSE |
| Ambev | ABEV | NYSE |
| Embraer | EMBJ | NYSE |
Financial reporting
SEC registrants file Form 20-F; Brazilian listed companies file quarterly reports (ITR) and annual statements with the securities regulator CVM under IFRS.. Our guide to reading foreign financial statements covers the differences that matter.
What American investors should weigh
- The new 10% dividend tax from 2026 changes the income math for Brazilian ADRs that used to pay dividends with no withholding.
- JCP (interest on capital) payments are taxed differently from dividends; the ADR's dividend notice should show which is which.
- The real has been one of the more volatile major currencies, and currency swings can dominate dollar returns.
- State-controlled companies such as Petrobras and some utilities carry political risk around pricing and payout policy.
- Brazil has no income tax treaty with the U.S., so there is no reduced rate to claim; the U.S. foreign tax credit is the main relief.
Rates change
Figures on this page were checked against the sources below on October 24, 2026. Treaty rates and domestic rules do change; confirm the current rate with your broker or the official source before relying on it.
Sources
- EY: Brazilian tax authority issues guidance on new withholding tax on dividends paid to nonresidents
- Baker McKenzie: Brazil — Law 15,270/2025 enacted to tax dividends
- PwC Brasil: Tax Intelligence Express — Complementary Law 224/2025 (JCP rate)
- B3: Circular on new trading hours from Nov. 3, 2026
- IRS: Tax treaty tables (Table 1, dividend rates)
Educational content only, not investment, tax or legal advice. The Stateside Report does not recommend buying or selling any security. Tax rules depend on your situation; confirm with a qualified tax professional. Full disclosures.