Tax on Expat Disability Pay

They do not if you pay taxes in the US.
Mine is directly deposited into a US bank account (checking). Many checking and savings do not create much income. (Now mine is military and never have to pay tax on his,
Same on SSN disability.

Thanks for the response. I'm also a veteran with a 100% VA disability rating and so my disability is tax exempt in the United States. For this reason, I don't have to pay taxes in the U.S. So, just to confirm are you saying that you're not taxed as a U.S. expat living in Brazil on a permanent basis? I'm moving to Rio de Janeiro in May on a retirement visa and I haven't found any information that specifies whether or not my disability pay would be taxed.

@dgwarmyman were you able to get a retirement visa and move to Brazil? Are there any taxes associated with your compensation? Let me know, I’m about to do the same thing.

Hi sanderson7252,

@Texanbrazil

Have you ever been in a situation that required you to file taxes in Brazil?

I am trying to buy a home here, financing partially, and it seems that no one has answers of wether or not I am required to pay taxes on my VA disability income...

any insights are appreciated

thanks

   02/14/24  @Texanbrazil
Have you ever been in a situation that required you to file taxes in Brazil?
I am trying to buy a home here, financing partially, and it seems that no one has answers of wether or not I am required to pay taxes on my VA disability income...
any insights are appreciated
thanks   

    -@jenerny

Welcome, jenerny.  Unfortunately, Texanbrazil passed away last April.  He did file taxes in Brazil while he was a permanent resident, as do I.  This is an old thread, you may find this one more current and  informative:

https://www.expat.com/forum/viewtopic.php?id=1027832

The short answer is that Brazil taxes a resident's worldwide income, and does not legally exempt disability income.  Brazil does, however, have a longstanding policy against double taxation, i.e., against taxing income that's already been taxed elsewhere, so the combined effect of those two policies ends up being positive for many people.  Its effect on you will depend on your personal circumstances, and you should find a Brazilian accountant local to where you live that you like and trust, review your total situation with that person, and follow his or her advice.

@jenerny

If you are American living in Brazil, you file taxes in both countries on incomes from both countriee . The taxes you pay in one country deducts from what you might owe on the same income in another country. That way you wint get double taxed.