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    Home»Economy»Senate approves bill increasing MEI revenue limit
    Economy

    Senate approves bill increasing MEI revenue limit

    Charlotte WhitmoreBy Charlotte WhitmoreAugust 13, 2021No Comments2 Mins Read
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    Senate approves bill increasing MEI revenue limit
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    On Thursday (12) the full House approved a supplementary bill (PLP 108/2021) that increases the total allowable annual revenue to R$130,000. Framing as a Sole Proprietorship Entrepreneur (MEI). Currently, the MEI billing limit is R$81k. Authored by Senator Jimmy Campos (DEM-MT), the proposal was as Rapporteur of Senator Marcos Ruggiero (DEM-RO). There were 71 votes in favor and none against. The text continues to be analyzed by the House of Representatives.

    The proposal expands from one to two the number of employees a small entrepreneur can employ. Employees can get, at most, the minimum wage or minimum wage for their occupational category.

    In cases of legal removal of one or both MEI employees, the appointment of employees in a number equivalent to those who have been on leave, including for a specified period, is permitted, until the conditions of transfer cease, as determined by the Ministry of Labor and Job.

    Reducing the tax burden

    According to the official data mentioned in the project justification, by the end of 2020, there were 11.2 million MEIs active in Brazil, corresponding to 56.7% of the total running business. The main advantage of qualifying as an MEI is the possibility of paying a reduced tax burden, through a single collection system, the Simplified Collection Document (DAS), at a fixed value, lower than the Simples rates, which are charged to total revenue and are progressively according to the scope of billing.

    Also Read: Starting a Business? See step-by-step instructions to become a MEI

    “The decrease in revenue resulting from the conversion of this law into law through Senate Budget Consultation, Inspection and Oversight has been estimated at R$2.32 billion for 2022, R$2.48 billion for 2023 and R$2.64 billion for 2023. 2024, has also been Expressed in the bill’s justification,” Senator Marcos Ruggiero (DEM-RO) stated.

    See also  Late Income Tax Learn how to pay the fine

    Charlotte Whitmore

    Charlotte Whitmore is a contributor at Mediarunsearch.co.uk, covering a broad range of topics including news, politics, business, technology, sport, entertainment, and lifestyle. She focuses on delivering clear, balanced reporting and practical information that helps readers stay informed about current events and emerging developments. Her work highlights stories that matter to everyday audiences, with an emphasis on accuracy, relevance, and accessible journalism that keeps readers connected to the issues shaping the UK and beyond.

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