Legal & Tax Guide - Brazil
Last updated: 2/11/2026
Legal & Tax Guide for Freelancers in Brazil
Tax Regime
MEI (Microempreendedor Individual)
Simplest and cheapest:
- Income limit: R$81,000/year (~$16,000 USD/year)
- Fixed monthly tax: R$60-70
- No mandatory accountant
- 100% online process
Pros:
- Free 15-minute registration
- Minimal tax burden
- Own CNPJ (tax ID)
Limitations:
- Restrictive income cap for USD earners
- Only 1 employee allowed
Simples Nacional
For R$81,000 to R$4,800,000/year:
- Annex III (services): 6%-33% depending on billing
- Unified taxes
- Quarterly declarations
Legal Structure
MEI
Registration:
- Active CPF
- Entrepreneur Portal: portaldoempreendedor.gov.br
- Choose CNAE: 6201-5/00 (Software development)
- Instant CNPJ
Limitada (LTDA)
- Limited liability
- No billing cap
- Setup cost: R$2,000-5,000
Banking
Fintechs (recommended):
- Wise: Best exchange rate, 0.5-1.5% fees
- Payoneer: Marketplace payments
- Husky: USD digital account for Brazilians
- Remessa Online: International transfers
Legal obligations:
- SISCOSERV registration (international services)
- IOF (Financial Operations Tax): 0.38%
- Mandatory conversion to BRL (Brazilian banks)
Setup:
- Wise to receive and hold USD
- Remessa Online for USD to BRL conversion
- Digital bank (Nubank, Inter) for local expenses
Invoicing
Electronic Service Invoice (NFS-e)
- Issued through municipal portal
- ISS (Service Tax): 2-5% depending on city
- 0% ISS for service exports
International invoicing:
- Note "Exportação de serviços"
- Service code: 01.07 (software development)
- Convert USD to BRL at Central Bank rate
Platforms:
- Contabilizei: R$99/month
- Qipu: Automated invoicing
Resources
- Receita Federal: www.gov.br/receitafederal
- Entrepreneur Portal: portaldoempreendedor.gov.br
- SISCOSERV: siscoserv.mdic.gov.br
FAQs
Do I need CNPJ to freelance? Yes, it's the legal way to invoice. MEI is simplest option.
Can I keep USD abroad? Legally must declare everything in annual return (DIRPF). Wise allows USD holding but must declare.
How much to save for taxes?
- MEI: R$60-70/month fixed
- Simples Nacional: 6-15% of income
- IOF: 0.38% on transfers
Is MEI worth it if earning USD? Only if billing under $16,000 USD/year. Higher income requires Simples Nacional.
Update: February 11, 2026. Verify changes at gov.br/receitafederal.