Overview
- The government committed to send a proposal to the Chamber of Deputies by Wednesday, June 24, that would phase the MEI annual revenue ceiling to about R$110,000 in 2027 and R$140,000 in 2028.
- The draft will allow microentrepreneurs to hire at least two employees instead of one, a change lawmakers say could create new formal jobs.
- Congress and the executive agreed to form a technical working group of government and parliamentary technicians to study how updating the Simples National would interact with the MEI changes and to design possible compensations.
- The Finance Ministry and economic teams resist broader Simples updates because officials estimate short‑term revenue losses of several billion reais, an actuarial burden on Previdência measured in tens of billions over decades, and annual costs for full Simples correction that analysts put as high as R$50 billion.
- The push follows a Senate bill and pressure from the Chamber, ties to the recent PEC that ended the 6x1 work scale, and affects roughly 17–18 million registered MEIs whose current ceiling has not been revised since 2018.