Brazil Accounting & Tax Glossary

The CBS (federal) and the IBS (state and municipal) are the new consumption taxes created by Constitutional Amendment 132/2023 and Lei Complementar 214/2025. They replace PIS, COFINS, ICMS and ISS over 2027 to 2033.

CSLL (Contribuição Social sobre o Lucro Líquido) is a federal contribution on profit charged alongside IRPJ. The rate is 9% for companies in general.

ICMS is the state tax on the circulation of goods and on interstate transport and communication services. Each state sets its own internal rates, dates and rules.

IRPJ (Imposto sobre a Renda das Pessoas Jurídicas) is the federal corporate income tax. Outside the Simples Nacional it is 15% of profit plus a 10% surcharge on profit above R$20,000 a month.

ISS is the municipal tax on services. Each municipality sets its rate within the national range and its own rules for invoices and payment.

Lucro Presumido is a regime in which taxable profit is a fixed percentage of revenue. It is open to companies whose revenue in the previous year was up to R$78 million.

Lucro Real is the regime in which IRPJ and CSLL are charged on the actual accounting profit, as adjusted for tax. It is mandatory when revenue in the previous year was above R$78 million and open to anyone by choice.

PIS/Pasep and COFINS are federal contributions on revenue. They are paid monthly by companies outside the Simples Nacional and are replaced by the CBS from 2027.

The Simples Nacional is the single tax regime for micro and small companies with revenue up to R$4.8 million a year. One monthly DAS covers IRPJ, CSLL, PIS, COFINS, the employer social security contribution, ICMS and ISS.

The CNPJ is the national registration number of a legal entity, an EI or an MEI, issued by the Receita Federal. It has 14 characters, and new ones issued from July 2026 may contain letters.

The MEI is an individual entrepreneur with revenue up to R$81,000 a year and at most one employee, who pays a fixed monthly DAS-MEI instead of calculating taxes.

The NF-e is the electronic invoice for goods, authorised by the state SEFAZ. The NFS-e is the electronic invoice for services, now on the national standard. Both are mandatory, and AccountsOS issues neither.