Donations for Purchase of Real Estate in Brazil

People in the US often need to transfer funds to people in Brazil, including money to help buy a home. A gift is called a doação in Portuguese. The person giving it is the donor (doador); the person receiving it is the recipient or donee (donatário).

This guide focuses on gifts of money used to fund a purchase. Giving an existing property, retaining a usufruct or planning a future inheritance requires a separate review of the asset, family rights and transfer formalities.

This guide is general information, not legal advice. Retain your own lawyer licensed in Brazil before arranging a donation or committing funds. US tax advice may also be needed.

Reviewed by Luciano Oliveira, Esq., LL.M., attorney admitted in Brazil, Texas, and California — October 2026. Content updated: October 30, 2026.

Three main parts of a cross-border donation

• Step 1 – Drafting and Executing a Donation Agreement
• Step 2 – Structuring the Donation Transfer with the Bank
• Step 3 – Checking and Paying Any Donation Tax Due

These parts overlap. A bank accepting a transfer does not settle the tax question, and a tax payment does not replace a proper gift agreement.

Funding a property purchase with a gift

A buyer may need help from a relative or another donor to fund a property purchase in Brazil.

It is not unusual for a US benefactor to step in to assist a Brazilian in buying their first property. To make this possible, a properly documented donation process is the right path to follow.

Both the US donor and the Brazilian donee need to plan for documentation, banking checks and the tax assessment before transferring the purchase money.

When it comes to real estate transactions, banks and registration offices (cartórios) may require additional documents to allow a real estate transaction involving the US and a Brazilian party to go through.

Retaining the services of a law firm experienced with such transactions helps you understand the requirements and avoid issues that could result in fines and legal trouble for both the donor and the donee.

Agree who will own the property. Giving someone the purchase money does not automatically give the donor a share of the home. If repayment or ownership is expected, tell the lawyer before calling the transfer a gift.

Other cash-gift purposes

Funding a startup in Brazil

In our practice, we also assist with transactions where a donor in the US will remit funds to a donee in Brazil to start a business. In some cases, a family member will send money to his relative in Brazil so this relative can start their own business.

To have such a donation done properly, it is important to secure a lawyer who has experience with the drafting of donation documents as well as structuring the transfer with the right banks.

A gift, a loan, and an investment in exchange for a business share are different arrangements. The documents and transfer description should reflect what the parties actually intend.

Supporting family members

It is common for us to assist people living in the US to donate sums of money to relatives living in Brazil.

Transferring substantial sums of money to Brazil requires a high degree of attention to the laws and regulations involving the donation itself, the transfer through an authorized provider, and any resulting tax that must be paid on time.

Securing a law firm experienced in such transactions between the US and Brazil can help you avoid mistakes.

Donation Main Steps

Although there are many details involved in a donation process involving a US donor and a Brazilian donee, the main three parts are described below. Check the tax position before sending money; do not wait until the transfer is complete.

Step 1 – Drafting and Executing a Donation Agreement

A substantial donation should be documented in an agreement between the donor and donee. Although a donation agreement is not complex in every case, there are certain components that must exist in such an agreement. Missing details can make it harder to show what was agreed and why the money was sent.

For a substantial cash gift, the agreement should identify both parties, the amount and currency, the purpose, and any conditions. Tell the lawyer if the money must be repaid or if the donor expects a share of the property.

How a gift can affect a later inheritance

Where Brazilian succession rules apply, gifts from an ascendant to a descendant or between spouses generally count as an advance on inheritance. Whether a gift must be brought into the later estate calculation (colação), and any valid dispensation, should be addressed in the planning documents.

A gift can be challenged to the extent it exceeds the donor’s disposable portion under the applicable rules. Brazilian law also prohibits giving away all assets without retaining enough property or income for the donor’s subsistence. A signed agreement or paid tax does not eliminate these civil-law limits.

For those decisions, see lifetime estate planning. Our inheritance and gift-tax guide explains the broader tax distinctions. This page covers the practical funding and documentation steps for a cash gift.

Step 2 – Structuring the Donation Transfer with the Bank

Banks such as Bradesco, Itau, Banco do Brasil, and other providers have their own checks. The Brazilian Central Bank has enacted regulations for international transfers. Confirm the documents and transfer arrangements before sending the money.

Because of such regulations, banks need to check who is sending and receiving the money and where it came from. Ask the provider which records it needs, how long its checks may take, and how much will arrive after exchange costs, fees, and any applicable taxes.

What the receiving bank may ask for

Ask for the bank’s checklist before sending the money. Requirements vary with the bank, amount, parties, and source of funds. Prepare the following records, as applicable:

• Identity details: donor and recipient identification, addresses, and the recipient’s CPF.
• A signed gift agreement: the amount, currency, parties, purpose, and any conditions.
• Proof of where the money came from: bank statements and, where relevant, records of savings, investments, or a sale.
• Supporting records: family relationship documents, transfer instructions, and the purchase agreement if requested.
• Tax paperwork: payment or filing records, or an explanation supporting why no gift tax is due, in a form the bank accepts.

Ask whether the bank needs translations, certified signatures, or an apostille. These are not automatic requirements for every transfer. If the bank asks for a tax receipt but your lawyer concludes no tax is due, resolve that difference before sending the money.

A transfer arriving is not the same as funds being available. The bank may still need to check documents and convert the money into reais. Allow time before committing to a property payment date.

From the gift to money you can use

1. Agree what the gift covers
Confirm the recipient, amount, conditions, and intended ownership.

2. Check the tax and bank requirements
Have your lawyer and receiving bank confirm the paperwork before sending.

3. Sign the documents and send the money
Use the agreed transfer route and describe the purpose accurately.

4. Complete the bank’s checks
Confirm when the converted funds are actually available.

5. Keep the records and complete reporting
Save the agreement, source of funds evidence, receipts, and tax records.

For the broader process, see our guide to sending money to Brazil.

Step 3 – Checking and Paying Any Donation Tax Due

It is not unusual for people in the US to send funds to people in Brazil without supporting documents. While apps such as Wise (formerly known as TransferWise), MoneyGram, and WesternUnion have made it easier than ever to send money to Brazil, using an app does not remove the need to check the gift documentation and tax obligations.

In addition to the proper documentation of a donation, check the associated donation tax, usually called ITCMD. Bank approval does not mean your taxes are settled. The source of the funds, the gift agreement, and the transfer records also matter.

Some Brazilian states allow certain gifts without donation tax, subject to their own limits and conditions. An exemption may still require a declaration or supporting records. Discuss the money gifting in detail with an attorney experienced in such transactions.

Will I pay tax on this money?

Before sending the money, have your Brazilian lawyer confirm whether gift tax is due and coordinate the paperwork with the receiving bank. Court decisions have protected some foreign gifts, but later changes mean this is not a blanket exemption.

For movable gifts, including cash, Complementary Law 227/2026 identifies the competent state: generally the donor’s domicile when in Brazil, or the recipient’s domicile when the donor is abroad. Competence is not the same as an enforceable tax charge. Check the applicable state law, gift date, effective-date protections and any relevant court decision before calculating liability.

How much could gift tax cost?

These 2026 examples apply only if the state’s gift-tax rules apply to your gift. They assume no earlier gifts that must be added to the calculation and exclude transfer charges, penalties, and special relief.

The state is not something you can simply choose by using a particular bank. These examples illustrate the calculation; they do not establish that a particular foreign gift is taxable.

São Paulo examples

São Paulo’s published 2026 exemption limit is R$96,050. Gifts from the same donor to the same recipient during the calendar year are added together. Above the limit, the published 4% rate applies to the full taxable amount, not just the excess. An exempt gift can still require a declaration.

Ceará examples of tax brackets

Each rate applies only to its portion. A taxable R$500,000 gift would produce approximately R$16,851 in gift tax, before any applicable relief. This is not a nationwide calculation: your lawyer should confirm the rules and figures that apply when you make the gift.

The US donor may have paperwork too

A US donor may need to file a gift tax return even when no gift tax is payable. For qualifying gifts in 2026, the general annual exclusion is US$19,000 per recipient. Going above that amount does not automatically mean tax must be paid. Ask a US tax adviser to check the donor’s status and filing obligations.

Questions to settle before sending the gift

Can the donor pay the seller directly?

Possibly, if the bank and transaction documents support that arrangement. Paying the seller directly does not automatically remove the gift or its tax consequences. Have the lawyer document who receives the benefit and who acquires the property.

Can I describe the transfer as family support instead?

Describe what the money is actually for. Calling money for a property purchase “family support” does not automatically change its tax treatment. Do not split transfers to avoid bank checks.

Does gift tax replace the property purchase tax?

No. A gift of money and the later property purchase are separate events. The purchase may involve ITBI, the municipal property transfer tax, as well as Public Deed (Escritura) and registration fees. The gift needs its own tax assessment.

Help with a donation to Brazil

If you are donating money to someone in Brazil, make sure to get proper advice. It would not be wise to give money to someone else while setting yourself up for trouble.

We can help you draft the donation agreement, obtain pertinent documents when needed, structure the transfer with banks experienced with international money transfers, and advise you on any resulting donation tax in Brazil.

Schedule a consultation with our team to discuss the proposed donation.

Sources and legal basis

Sources checked on October 30, 2026. The relevant state legislation must also be checked for each donation.