Micro and small companies and individual microentrepreneurs (MEI) who have not regularized their debts with Simples Nacional – special tax regime for small businesses – by the 31st will be excluded from the regime. The exclusion will be effective from January 1st.
The debtor can pay in cash, deduct part of the debt with tax credits (resources that the company is entitled to receive from the tax authorities) or pay the debts in installments over up to five years with the payment of interest and fines. Payment in installments can be made through the Simples Nacional portal or at the Virtual Revenue Service Center (e-CAC), using the “Installment – Simples Nacional” service.
Access to the Simples Nacional Portal and e-CAC is done with a digital certificate or with a silver or gold level account on the Gov.br Portal. The company or MEI that does not agree with the debt and wants to contest the Exclusion Term must direct the contest to the Federal Revenue Judgment Delegate, filed on the internet, as instructed in the website of the organ.
Notifications
From September 30th to October 4th, the IRS notified 1,121,419 MEI and 754,915 micro and small companies that owed R$26.5 billion to Simples Nacional. After knowing the term, the taxpayer has up to 30 days to challenge the notification or pay off the debts, under penalty of being excluded from Simples.
According to the Federal Revenue, the main irregularities are lack of documents, excess billing, tax debts, pending installments or the company carrying out activities not included in Simples Nacional.
Periodically, the IRS checks whether companies comply with the conditions for inclusion in Simples Nacional. When the establishment presents irregularities, the agency sends letters with the exclusion notice. Micro and small business owners who have not yet settled their outstanding issues can request guidance from the Brazilian Micro and Small Business Support Service (Sebrae) to draw up a business recovery plan.
