Eastern and south-eastern Brazil (Alagoas; central Mato Grosso and southern Bahia south to Santa Catarina), adjacent eastern Paraguay and north-eastern Argentina (Misiones).
 
Population
Estimated population is unknown (2010).
Chestnut-bellied Euphonia (Euphonia pectoralis) [XC556310]
by Caio Brito from RPPN Volta Velha - Sede, Brazil (canto)
Chestnut-bellied Euphonia (Euphonia pectoralis) [XC348311]
by JAYRSON ARAUJO DE OLIVEIRA from Jardim Melvi, Praia Grande, S\u00e3o Paulo, Brazil (song)
Subspecies
Recent molecular-genetic analysis indicates that genus belongs in family Fringillidae. May form a superspecies with Rufous-bellied Euphonia (Euphonia rufiventris) and Golden-sided Euphonia (Euphonia cayennensis). Described taxon Euphonia vittata believed to have been a hybrid between present species and Orange-bellied Euphonia (Euphonia xanthogaster).