Brazil launches the Rearp program: How to ensure compliance for undeclared Bitcoins and encryption assets

Source: PortaldoBitcoin Original Title: See how to regularize undeclared Bitcoin and cryptocurrencies Original Link: The Brazilian federal government has opened a new asset compliance pathway for citizens with unreported assets, specifically targeting investors holding Bitcoin and other cryptocurrencies who have not declared them to the tax authorities. The bill No. 15.265/2025, published on November 21, 2025, created a special asset update and compliance system (Rearp), which is a program similar to a “controlled fiscal amnesty.”

The goal of the bill is to allow taxpayers to update the value of their assets or to legalize assets that have not been formally declared, including Bitcoin, stablecoins, and other crypto assets, regardless of whether these assets are on international exchanges or self-custodied.

At a time when Brazil is strengthening cryptocurrency reporting rules and aligning with OECD international standards, this plan has garnered attention. With the introduction of new requirements for exchanges (including international platforms) and an increase in data cross-checking between the central bank and tax authorities, the risk of undeclared assets has risen significantly.

The Operating Mechanism of Rearp

The program allows for two different operations: updating the declared asset value and regularizing legally owned assets that have never been reported to the tax authorities. For cryptocurrency investors, the second option is the most relevant, as it legalizes assets stored in international exchanges, personal wallets (such as hardware wallets), or decentralized finance platforms, which have never appeared in income tax declarations.

According to the rules, taxpayers must report the market value of their crypto assets by December 31, 2024 (the benchmark date specified by the bill). This amount is subject to a total tax of 30%, which includes a 15% fixed income tax based on deemed capital gains and a penalty equivalent to 100% of the income tax (an additional 15%).

The validity period of Rearp is 90 days, calculated from the date of publication in the Official Gazette on November 21, 2025. This means that taxpayers have until February 19, 2026, to take advantage of these rules and regularize their assets.

The government claims that by joining Rearp, investors have gained a “criminal amnesty”: they have regularized their status and avoided the risk of being accused of concealment or tax evasion, and their assets have received formal recognition from the tax authorities. The bill also allows for installment payments of up to 36 times, making the financial adjustment burden lighter.

The plan has garnered attention among experts as it coincides with the tax authorities strengthening oversight over international exchanges, which now must report information about Brazilian clients. This means that investors who hold assets abroad and believe these assets to be “invisible” to the tax authorities are now, for the first time, directly under the scrutiny of the authorities.

In the face of this situation, Rearp offers an opportunity for those who have accumulated Bitcoin or other cryptocurrencies in the past few years but have not declared them, whether due to ignorance or the belief that tax authorities would not involve digital assets. The cost is high, but experts argue that it may be lower than the risk of future penalties.

Main Details of Rearp:

• Joining Deadline: 90 days from the date the tax authority approves the plan.
• Calculation Base: The market value of cryptocurrency assets on December 31, 2024
• Tax: Total 30%, including 15% income tax plus a penalty equivalent to 100% of the income tax (i.e., an additional 15%)
• Payment: You can choose to make a one-time payment or split it into 36 installments.