Brazil pushes new tax measures for freelancers and reinsurers

The Senate’s Human Rights Committee approved Suggestion Legislative 3/2026, turning it into a complementary bill that would create a simplified tax regime called Microempreendedor Profissional (MEP) for liberal professionals such as lawyers, doctors and engineers. Under the plan, eligible workers – earning up to R$120,000 a year, without employees or partners – would pay a single 6% levy on gross monthly revenue in place of income tax, payroll contributions and service taxes. The proposal now moves to the Senate plenary, then to the Chamber of Deputies and ultimately the president for sanction.

In the Chamber of Deputies, PL 3540/26, sponsored by Deputy Isnaldo Bulhões Jr., seeks to lower the corporate‑social‑contribution tax (CSLL) for domestic reinsurers from 15% to 9% and to remove the usual 30% cap on loss‑carry‑forward for reinsurance and retrocession activities, aligning Brazil’s rates with those of jurisdictions such as Bermuda and Singapore. The bill aims to restore competitiveness after national reinsurers’ market share fell to 28% in 2024. It is still awaiting committee assignment but could be brought directly to a floor vote.