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[POLITICS] · Brazil · 7 sources

Brazil's Chamber of Deputies postpones vote on raising MEI income ceiling

The Brazilian Chamber of Deputies will postpone voting on a bill that seeks to raise the annual revenue limit for Microentrepreneur Individual (MEI) registrations. The proposal would increase the ceiling from the current R$ 81,000 to R$ 110,000 in 2026 and to R$ 140,000 the following year, and would also allow MEIs to hire a second employee.

The Ministry of Finance opposes the measure, citing an estimated fiscal impact of about R$ 8.1 billion between 2027 and 2029. The disagreement centres on revisions to the Simples Nacional tax brackets, which the government says could cost up to R$ 50 billion per year. Chamber President Hugo Motta and relator deputy Jorge Goetten indicated that the lack of consensus means the vote will be delayed until after the parliamentary recess in August.

Business groups and the productive sector have voiced support, arguing that the ceiling increase corrects an inflation‑driven gap and would encourage formalization and job creation. A free workshop organized by Sebrae and local chambers will inform small‑business owners about the broader tax reforms affecting the Simples regime.