The legislation and laws in Brazil about accounting and
bookkeeping are constantly changing and your company must stay
aware and be fully compliant.
Financial reporting requirements in Brazil are governed by Laws
No. 11638/07, 11.941/09 and 12.973/14, which align with
International Accounting Standards (IAS/ IFRS). The specific
accounting standards are published by an accounting entity that has
existed since 2008 called CPC (Comitê de Pronunciamentos
Contábeis). The standards are approved by the Federal
Accounting Council (CFC) and the Brazilian Securities and Exchange
Commission (CVM).
One of the newest, and most important standards, is CPC 47
(corresponding to the IFRS 15) which focuses on revenue recognition
due to contracts. This revenue recognition should occur when the
client obtains control over the acquired goods or services.
Companies must be prepared to report their revenue in accordance to
these rules through financial statements to avoid penalties and
