Ordinance provides for application methods of Brazil-Mexico tax convention

Brazil’s official gazette of February 21 published Ordinance (Portaria) No. 38/07 establishing the application methods of the Brazil-Mexico Tax Convention to avoid double taxation and prevent tax evasion. Among other provisions, the Ordinance provides for the maximum tax rates levied in Brazil on dividends, profits, interest, royalties and income from technical assistance and technical services, when the beneficial owner is resident or domiciled in Mexico.