This is the topic that causes the most fear — and the one fewest brokers explain. If you're buying property in the U.S., succession planning is part of the purchase price.
The most important warning: the estate tax
For nonresidents, the U.S. estate-tax exemption is only $60,000 — above that, rates can reach 40%. And Brazil has no estate-tax treaty with the United States. Holding through an LLC does not remove this exposure. Planning with a specialized attorney is not optional.
FIRPTA: the tax on a future sale
When a foreigner sells U.S. property, 15% of the sale price is withheld at the source under the law known as FIRPTA. It's an advance on the tax, settled later on the tax return — but it needs to be in your exit plan from the day you buy.
Your obligations in Brazil
Foreign property must be reported on your Brazilian income-tax return under "Bens e Direitos" (Assets and Rights). Wealth of $1 million or more requires the CBE (Brazilian Capital Abroad Declaration). And capital gains on a sale are calculated through GCAP, at rates from 15% to 22.5%.
Structure before, not after
Individual ownership, LLC, or another structure: each has distinct tax and succession implications in both countries. The right choice depends on your wealth and your plans — and it should be made with an attorney and an accountant before signing, never after.