So far, SRI has identified 491 contributors who sell new products on social media. About 100 do not have a RUC.
Referential image of a user of social networks.
Social networks have become a primary sales channel for entrepreneurs and companies. But not always these sales are reported in the tax return to the Internal Revenue Service (SRI).
With the rise of electronic commerce, the SRI seeks to avoid tax evasion through this sales channel. To do this, it began this year with a kind of registration of taxpayers who trade in these networks.
According to estimates from the Espíritu Santo University (UEES), e-commerce sales in the country will reach USD 5,000 million this year.
As of August 23, 2023, the SRI had identified 492 taxpayers who use social media for the sale of new products.
Of this group, 393 are registered in the Single Taxpayer Registry (RUC). While another 99 do not have a RUC, that is, they do not bill.
In addition, of those who have RUC, 78 are within the General Regime and 315, registered in the Simplified Regime for Entrepreneurs and Popular Businesses (Rimpe).
The SRI clarifies that, for now, it is in the phase of identifying taxpayers who carry out economic activities through social networks.
“Informative campaigns have been carried out regarding the fulfillment of formal duties, mainly the registration in the tax registry and the delivery of sales receipts,” he explains.
In a later phase, the entity adds, it will execute persuasive and dissuasive campaigns , so that taxpayers “regularize their situation, fulfill their formal duties and proceed to declare and pay taxes.”
What is sold on social networks?
The offer of products in social networks is very varied. According to SRI monitoring, these categories are the most frequently traded:
Entrepreneurs or companies use a variety of digital platforms and social networks to offer their products, the most important being, according to the SRI: Facebook , Instagram, Tiktok and X (formerly Twitter).
Regularization
In addition to registering with the RUC , taxpayers who market on social networks must comply with the following obligations :
- Issuance of sales receipts.
- Keep records of income and expenses.
- Make the corresponding declarations, according to the registered regime.
The SRI clarifies that the RUC must include retail trade as an economic activity , regardless of whether the products are sold in physical stores or through digital channels.
The taxes that the taxpayer must pay are determined based on the regime in which he is registered, the economic activity and the obligation to keep accounts.
But, in general, taxpayers must comply with the payment of Value Added Tax (VAT) and Income Tax (IR).
Statements in the Rimpe
Most of the taxpayers identified by the SRI are in Rimpe, that is, they are popular businesses or enterprises.
In case of having annual income of less than USD 20,000 per year, the SRI will consider it within the segment of popular businesses, when registering the RUC.
While if they exceed that amount, but do not exceed USD 300,000 per year, the taxpayer will enter the group of entrepreneurs.
Taxpayers in the Rimpe regime are not required to keep accounts, but they do have to issue sales receipts : electronic invoices, if they are entrepreneurs, or sales notes if they are popular businesses.
The taxes that must be paid are:
- Popular businesses do not need to declare VAT. But they pay a Single Tax of USD 60 that will be in force only until 2023 and will be declared and paid in 2024. As of that year, businesses with annual sales of less than USD 2,500 will not pay this single tax and those who exceed that sales value will be taxed. between USD 5 and USD 60 per year, depending on the level of billing.
- Entrepreneurs must declare VAT every six months . You also have to pay an Income Tax rate of between 1% and 2%, depending on your income.
What about used products?
The sale of used products , such as clothing or household furniture , could also be taxed with VAT, depending on the type of product that is sold.
According to the SRI, these products should be invoiced and “apply the corresponding VAT rate at the time of their transfer.”
However, the taxpayers that the SRI has identified, for now, only market new products.
On the other hand, the SRI clarifies that if it is an occasional sale, it is not necessary to register the economic activity in the RUC, but it is necessary to comply with the declaration and payment of taxes.
