Every Brazilian in Florida faces, sooner or later, the same uncomfortable question: is it possible to handle American income tax on their own? The short answer is that it's not worth the risk. Between the ITIN Number, tax residency rules, and the differences between the United States and Brazilian tax systems, a single slip-up can lead to fines, delayed refunds, and even future complications with immigration.
It's no exaggeration. The IRS (the American Internal Revenue Service) is one of the most rigorous tax authorities in the world, and it makes no distinction between errors due to ignorance and deliberate tax evasion. For those still adapting to the language, culture, and local bureaucracy, having a specialized accountant ceases to be a luxury and becomes a form of protection.
Who really needs to file income tax in the United States?
Many people believe that only those with a Green Card or citizenship need to file a tax return. In practice, the IRS's criteria are different: it looks at your tax residency, not your immigration status.
There are two main tests. The first is the Green Card Test, which considers anyone with a valid Green Card at any time of the year to be a tax resident. The second is the Substantial Presence Test, which counts the number of days of physical presence in the U.S. over three consecutive years, even for those on tourist or informal work visas.
This means that a Brazilian citizen without a defined immigration status, but who has spent enough time on American soil, can become a tax resident without even realizing it. And tax residents declare worldwide income, not just what they earned in the United States.
Those who qualify as nonresidents (nonresident aliens) only declare income from US sources, using form 1040-NR instead of the traditional 1040. This distinction completely changes which income is included in the calculation, which deductions are allowed, and which form must be completed. We have already shown here, in detail, how to file income tax in the United States step by step, but correctly defining your tax status is the starting point that no Brazilian should skip.
Tax season, the period when the IRS receives tax returns, typically opens at the end of January and closes in mid-April of the year following the fiscal year declared. Those who miss this deadline without requesting an extension will begin the process by paying a fine, even before any discussion about amounts owed.
The ITIN Number: the "American CPF" for those who don't yet have a SSN.
If you work in Florida, whether as a housekeeper, rideshare driver, babysitter, or small business owner, and you don't yet have a Social Security Number, the IRS requires an alternative tax identification. That's where the ITIN, short for Individual Taxpayer Identification Number, comes in.
The ITIN functions as a tax identification number for those who are not eligible for a Social Security Number (SSN) but need to file and pay US taxes. It does not replace work authorization, does not confer immigration status, and serves strictly for tax purposes with the IRS.
The request is made using Form W-7, attached to the first income tax return. Typically, the document package includes:
- Form W-7 completed correctly
- Valid Brazilian passport (document accepted on its own to prove identity and nationality)
- Income tax return (Form 1040 or 1040-NR) attached to the application.
- Proof of income, such as Form 1099 or 1042-S, when applicable.
One detail that few articles mention: even those with irregular immigration status can and should apply for an ITIN. The IRS does not automatically share this data with immigration authorities, and maintaining tax compliance often works in favor of those who seek to regularize their status in the future.
Another point that is rarely discussed is that the ITIN expires. A number that does not appear on any tax return for three consecutive years is automatically deactivated by the IRS and needs to go through a new renewal process before the next tax season. Those who use their ITIN every year rarely face this problem, but those who spend time outside the US or disappear from tax reporting for a period are often caught off guard.
The most common mistakes people make when filing alone.
Auto-fill software helps when the situation is simple, but the reality for a Brazilian immigrant is rarely simple. Among the most frequent mistakes that an experienced accountant avoids are:
- Mixing income from Brazil in a non-resident's tax return, when form I-1040-NR should only include income from US sources.
- Forgetting about Self-Employment Tax on income received via Form 1099, common among ride-sharing drivers and self-employed service providers.
- Failure to file an FBAR or Form 8938 for bank accounts held in Brazil, even when no additional tax is due.
- Ignoring the tax season deadline, which usually ends in mid-April, results in late payment penalties even if no amount is owed.
- Applying rules or "tricks" used in Brazil that simply don't exist in the American tax system.
FBAR and Form 8938 deserve special attention because they are not taxes, but rather mandatory reports. The penalty for failing to file them can easily exceed the cost of years of an accountant, even when the person did not owe a single cent to the IRS.
Brazilian accountant, American accountant, or both?
A common mistake among Brazilians with rental properties, LLCs, or investments in the United States is having both an American and a Brazilian accountant who never communicate with each other. The result is often avoidable double taxation and asset inconsistencies in the two tax returns.
Ideally, you should seek a professional, or a team, that understands both American and Brazilian law. This is especially true for those who receive short-term rental income (like Airbnb), have a business registered in the US, or maintain investments in both countries.
It's worth remembering that Florida does not levy state income tax on individuals, unlike states like New York or California. This simplifies part of the calculation, but does not eliminate the federal obligation to the IRS, nor the potential obligation to declare sales tax for those who rent properties for short-term stays or sell products and services.
What happens if you don't declare (or declare incorrectly)?
The consequences go far beyond a single fine. The IRS applies compound interest to overdue amounts, and the penalty for not filing a return is usually greater than the penalty for not paying the tax owed.
There is also a less talked-about risk: unresolved tax issues can weigh against the applicant in future immigration processes, such as adjustment of status, green card renewal, or naturalization. Immigration officials often request proof of tax compliance, and a history of missing tax returns raises red flags.
In more serious cases, the recurring failure to file a tax return can be treated as tax fraud, with repercussions that extend beyond the tax sphere. None of these scenarios justifies the savings of hiring a professional.
There is also a less obvious side effect: those who have never filed correctly lose access to credits and refunds to which they would be entitled. Without an organized tax history, it becomes virtually impossible to prove income for car financing, property rental, or opening a line of credit—processes that are already more bureaucratic for foreigners.
And what about Brazil? You may still need to declare there.
Many Brazilians assume that when they move to the United States, their obligations to the Brazilian Internal Revenue Service automatically disappear. That's not quite the case. As long as you haven't formally left the country, Brazil may continue to consider you a tax resident.
The document that resolves this issue is the Declaration of Definitive Departure from the Country , which informs the Brazilian Federal Revenue Service that you are no longer a Brazilian tax resident. Without it, you may need to file income tax returns in both countries simultaneously, even if you are already living and working legally in Florida.
There is currently no double taxation agreement signed between Brazil and the United States for individuals. This further reinforces why an accountant who sees the complete picture, and not just the American side, makes a real difference to your bottom line.
How to choose the right accountant in Florida
Not all tax preparers have the same qualifications. Before hiring someone, it's worth confirming whether the professional is a CPA (Certified Public Accountant) or EA (Enrolled Agent), credentials that guarantee validated technical knowledge and official representation before the IRS in case of an audit.
Give preference to someone who has already assisted other Brazilians and is intimately familiar with the specific needs of those who have income in two countries, an ITIN (International Taxpayer Identification Number), or a company registered in their own name. Assistance in Portuguese helps, but it doesn't replace experience with international cases.
Finally, be wary of anyone who promises miraculous refunds or waives any documentation. A serious tax return requires paperwork, time, and specific questions about your situation, not generic shortcuts.
Is it worth hiring an accountant if you're Brazilian in Florida?
It's worthwhile, and the time saved, fines avoided, and peace of mind with the IRS usually far outweigh the cost of the service. Between understanding the ITIN, choosing the right form, and keeping both ends (Brazil and the United States) up to date, professional support is no longer optional for those who take their US tax life seriously.
If you don't yet have an ITIN, are confused about which form to use, or simply want to sleep soundly during the next tax season, the next step is to find an accountant specializing in Brazilians before the IRS contacts you first.
