20/06/2022
Purchasing Farms and Country Property Lands in Brazil
There are restrictions on the purchase of rural properties by foreigners. In this case, the limit for acquisition by foreigners, regardless of authorization, is currently 30 hectares.
In summary, the steps for acquisition by foreigners are as follows:
ACQUISITION OF RURAL PROPERTY BY FOREIGNERS: the acquisition or lease of rural property is subject to specific legislation (Law No. 5,709/71 regulated by Dec.74,965 of 11/26/74):
a) the foreigner (individual) residing in the country (art. 9, II of Law No. 5,709/71) who has an RNE, or
non-resident as long as he acquires rural property located here;
b) a Brazilian married to a foreigner whose regime determines the communicability of property (art. of IN INCRA n.88/2017) is considered equivalent to a foreign natural person, that is, married under
regime of universal or partial community of property or living in a stable union, if through community of property;
c) the foreign legal entity authorized to operate in Brazil;
d) the Brazilian legal entity whose shareholding is held by foreigners (individuals or legal entities)
residing or headquartered abroad, (Opinion of the Attorney General's Office No. CGU/AGU No. 01/2008 - RVJ- Case No. 0400.000695/2007-00; and Article 1, III of Prov. 43/2015 of the CNJ ).
Note: if the property is located in a border area, there are numerous restrictions in the legislation, including authorization for the acquisition of property of any size.
Note: a naturalized Brazilian is considered Brazilian and does not require authorization from INCRA to acquire rural property in Brazil (BE do IRIB n. 4467)
2. REQUIREMENTS:
The. Public deed:- the acquisition or lease can only be by public deed (art. 8 of Law No. 5,709/71 and Prov. CNJ 43/2015) as well as all acts of inter vivos disposal;
B. Declaration: the foreign purchaser, residing in the country, must expressly declare in the deed, under civil and criminal liability, that he is not the owner of other real estate
rural;
ç. Registration with the IRS:
a)- the natural person must be registered with the CPF (IN RFB n. 2042/2010)
b)- the foreign legal entity must be registered with the CNPJ (IN RFB n. 1183/2011, art. 3, XII).
d. Authorization from INCRA (Brasilia): Noting the following:
a) Up to 03 MEIs - Indefinite Exploration Module - 1 acquisition by a foreign individual
(RNE holder) of up to 03 MEIs is free, regardless of any authorization or
license, unless the property is located in an area essential to national security (such as areas
border), when it depends on prior permission from the General Secretariat of the Security Council
National.
b) Acquisitions above 03 MEIs: authorization from INCRA is required.
c) The acquisition of rural property with an area between 3 (three) and 50 (fifty) modules per individual
foreigner residing in the country will depend on authorization from INCRA and, if the territorial area
exceed 20 (twenty) modules, of approval of the corresponding exploration project.
The following links have pertinent information:
http://eduardoaugusto-irib.blogspot.com/2010/06/imovel-rural-conceitos-de-modulo-fiscal.html
https://www.gov.br/incra/pt-br/assuntos/governanca-fundiaria/modulo-exploracao-indefinida
https://www.gov.br/incra/pt-br/acesso-a-informacao/indices_basicos_2013_por_municipio.pdf
http://www.planalto.gov.br/ccivil_03/leis/l5709.htm
https://www.camara.leg.br/noticias/720837-proposta-regulamenta-compra-de-terras-rurais-por-estrangeiros/
