VAT refund
A VAT refund occurs when the VAT input value exceeds the VAT output value for a VAT reporting period. The VAT refund is submitted electronically.
Brazil specifics
If the amount of input tax recoverable exceeds the amount of output tax payable, the excess is generally not refunded. However, the excess may be used to offset tax payments in the following months or may be transferred in certain cases to a third party.