Lei do Bem

The "Lei do Bem" is a significant fiscal incentive in Brazil aimed at promoting Research, Development, and Innovation (R&D&I) activities within companies, contributing to technical-productive capacity development and increasing the added value of goods and services. Utilizing the Lei do Bem requires a detailed presentation of R&D&I projects, highlighting scientific and technological advancements and describing applied methodologies.

Project Types

• Development of new products or processes
• Improvement of existing products or processes
• Creation of incremental innovations resulting in quality or productivity improvements

Eligibility Criteria

• Companies must engage in R&D&I activities
• Must be taxed under the Real Profit regime
• Must have generated profit during the period for which they seek to use the benefits

Offered Incentives

• Deduction of up to 60% of R&D&I expenditures from the IRPJ and CSLL tax bases
• Additional incentives may be granted for hiring researchers (up to +20%) or depending on the number of researchers employed

Examples of Eligible Projects

• Development of a compact, efficient electronic circuit resulting in a portable medical device
• Introduction of a new agricultural process that boosts productivity and improves resource efficiency
• Innovations in manufacturing processes that lead to significant waste and emission reductions