Companies taxed by the Real Profit system face constant challenges in tax management and need to master strategies that allow them to legally reduce the IRPJ and CSLL calculation base. A list of deductible expenses in real profit represents one of the main tools for optimizing the tax burden and increasing business profitability.
Mastering which expenses can be deducted from taxable income makes all the difference between paying unnecessary taxes or keeping resources in the company for reinvestment and growth.
Knowing the legal and documentary requirements avoids problems with the tax authorities and guarantees security in accounting operations.
This guide presents in a technical and objective way everything managers and entrepreneurs need to know about tax deductions under the Real Profit regime, from the fundamental concepts to the practical application in day-to-day business.
What are deductible expenses
Deductible expenses represent expenses that tax legislation allows to be subtracted from the basis for calculating Corporate Income Tax and Social Contribution on Net Profit.
These operating costs, when duly proven and related to the company's activity, reduce taxable profit and, consequently, reduce the amount of taxes due.
A Internal Revenue Service establishes strict criteria for classifying an expense as deductible, requiring it to be necessary, usual, normal and documented.
Real Profit companies need to structure their accounting processes to correctly identify these expenses and maximize the tax benefits legally allowed.
What are the requirements for real profit tax deductions?
For an expense to be considered deductible under the Real Profit regime, it must simultaneously meet the requirements established by tax legislation.
Firstly, the expense must be necessary for the company's activity and for maintaining the source of income. In addition, it must be usual for the type of business or operation carried out by the organization.
The expense must also be duly recorded in the accounts, with suitable tax documentation to prove that it was incurred. Another fundamental criterion is compliance with the accrual basis, recording the expense in the period in which the generating event occurred.
Finally list of deductible expenses in real profit excludes expenses of a personal nature of the partners, unauthorized provisions and expenses without adequate proof.
Complete guide Real Profit and Presumed Profit in Tax reform
List of deductible expenses in real profit
Brazilian tax legislation allows Real Profit companies to deduct various types of operating expenses from the IRPJ and CSLL calculation basis. Knowing this list of deductible expenses in real profit allows you to better plan your cost structure and take advantage of all the tax benefits available:
- Wages, salaries, bonuses and other remuneration paid to employees
- Social and labor charges such as FGTS, employer's INSS and union contributions
- Rentals of real estate used in the company's operating activities
- Water, electricity, telephone and internet costs of the establishment
- Fees paid to self-employed professionals and service providers
- Expenditure on maintenance and repair of goods used in production
- Property, equipment and liability insurance
- Expenses for business trips, including accommodation and meals
- Taxes and fees related to business activity
- Depreciation of fixed assets at statutory rates
- Amortization of pre-operating expenses and improvements to third-party properties
- Losses on receivables from operating activities
- Donations to entities recognized as being of public utility
- Financial expenses and interest on working capital loans
- Expenditure on employee training
What are the non-deductible expenses
Not all expenses incurred by the company can be deducted from the tax base. The legislation clearly establishes which expenses are not eligible for tax deduction, thus avoiding distortions and the misuse of tax benefits.
Expenses for gifts
Expenditure on gifts, presents and bonuses to clients or third parties does not include the list of deductible expenses in real profit, except when they are characterized as free samples of products marketed by the company. The Internal Revenue Service considers these expenses to be freebies with no direct connection to generating revenue.
Uncommitted provisions
Generic provisions or those not specifically provided for in tax legislation cannot be deducted. Only expressly authorized provisions, such as vacation pay and 13th salary, can be deducted.
Fines and penalties
Traffic fines, fines for tax infractions, administrative penalties and interest for late payment of taxes cannot be deducted. These amounts arise from non-compliance with legal obligations and are not related to productive activity.
Members' personal expenses
Private expenses of owners, managers or partners, even if paid for by the company, are not tax deductible. This includes expenses for personal vehicles, private travel and individual consumption not related to the business.
How to prove deductible real profit expenses
Adequate proof of deductible expenses is a fundamental requirement if the company is to effectively reduce its tax base without the risk of a tax assessment.
All expenses must be backed up by proper fiscal documentation, such as electronic invoices, receipts identifying the service provider and bank payment receipts.
Bookkeeping must record each expense in the correct accrual period, linking the tax document to the corresponding entry. Companies must keep an organized file of all supporting documents for a period of five years, during which the Federal Revenue Service can inspect operations.
Contracts for the provision of services, leasing and other commercial agreements strengthen the proof of the necessity and normality of the expenditure. A list of deductible expenses in real profit also requires that the documents contain complete information about the supplier, a detailed description of the service or product and itemized values.
Integrated management systems facilitate the control and traceability of expenses, enabling audits internal preventive measures before any external inspections.
The importance of a professional accountant for real profit companies
Companies taxed by Lucro Real (Real Profit) face tax complexity that requires specialized technical knowledge and constant updating on changes in legislation.
Relying on qualified accounting professionals ensures that all deductible expenses are correctly identified and taken advantage of, maximizing legal tax savings. Experts avoid mistakes that can result in significant tax assessments, fines and interest.
Strategic accounting management goes beyond compliance with ancillary obligations, transforming tax information into intelligence for more assertive and profitable business decisions.
Count on CLM Controller
Making full use of list of deductible expenses in real profit requires technical expertise, rigorous controls and a strategic vision that goes beyond traditional accounting.
A CLM Controller has been working for more than 40 years as a strategic partner for Real and Presumed Profit companies, offering not only compliance with obligations, but in-depth analyses that identify opportunities for tax optimization and legal reduction of the tax burden.
Our team of more than 100 experts has mastered the nuances of tax legislation and works in an advisory capacity to ensure that your company uses all the tax benefits available with total legal certainty.
Each client has an exclusive account manager who deeply understands the business and offers customized solutions. We also provide liability insurance professional that protects your company against possible operational failures.
Request a diagnosis with our experts and find out how CLM Controller can transform your tax management into a real competitive advantage.
