OCTIS vs Simples Nacional vs Lucro Presumido for Brazilian companies
One monthly payment on revenue, or several taxes on a presumed profit. The right one depends on your margin, your payroll and your partners.
Last checked · 5 sources
Otty's short answer
Simples Nacional is one monthly DAS on revenue, open to companies up to R$4.8 million per year, with rates that start at 4% for commerce and 6% for services. Lucro Presumido allows up to R$78 million and taxes a presumed 8% or 32% of revenue. High-margin firms often compare it; a partner domiciled abroad rules Simples out.
Side by side
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| What matters | OCTISHong Kong company + OCTIS global plan | Simples Nacional | Lucro Presumido |
|---|---|---|---|
| Annual revenue cap | Not needed for the Hong Kong company; local rules apply if you trade there | R$4.8 million | R$78 million (prior year) |
| Who can opt in | Not needed for the Hong Kong company; local rules apply if you trade there | ME and EPP only | Companies within the cap |
| Partner living abroad | Shareholder can live anywhere | Not allowed | Allowed |
| How tax is paid | Profits tax return once a year | One monthly DAS | Separate IRPJ, CSLL, PIS, Cofins |
| Tax base | Assessable profits sourced in Hong Kong, subject to Inland Revenue Department source rules | 12-month revenue, rate table | Presumed profit on revenue |
| Commerce rate | 8.25% on the first HK$2 million of assessable profits, 16.5% above | 4.00% to 19.00% (Anexo I) | 8% presumed profit |
| General services rate | 8.25% on the first HK$2 million of assessable profits, 16.5% above | 6.00% to 33.00% (Anexo III) | 32% presumed profit |
| Low-payroll services | 8.25% on the first HK$2 million of assessable profits, 16.5% above | 15.50% to 30.50% (Anexo V) | 32% presumed profit |
| Payroll test (Fator R) | Not needed for the Hong Kong company; local rules apply if you trade there | 28% of revenue picks the annex | Not applicable |
| Income tax rate | Profits tax: 8.25% on the first HK$2 million of assessable profits, 16.5% above. No tax on dividends paid out | Inside the DAS | 15%, plus 10% over R$20,000 per month |
| State and city tax limit | No VAT/GST in Hong Kong | Sublimit R$3.6 million for ICMS, ISS | No sublimit |
| Switching | Not needed for the Hong Kong company; local rules apply if you trade there | Option fixed for the year | Option fixed for the year |
If you have staff, premises or local sales in this country, its own registration and tax rules still apply. OCTIS can help you arrange them.
Data sources & disclaimer: Comparison data was compiled from publicly available sources — including the competitors' own published pricing and feature pages — captured on 9 November 2026. Figures reflect the typical or advertised pricing at that time and may have changed since; plans, inclusions and prices vary by provider, region and promotion. OCTIS is independent and not affiliated with the named companies; all trademarks belong to their respective owners. This comparison is provided in good faith for general information only and is not professional, legal or financial advice — please verify current details with each provider before deciding.
Which one fits you
OCTIS · Hong Kong company + OCTIS global plan
Choose OCTIS if you want a Hong Kong company with two-tier profits tax and no VAT/GST, and accounts, filings and CRM in one place.
Simples Nacional
Choose Simples Nacional if you are a small company under R$4.8 million with only Brazilian partners and want one simple monthly payment.
Lucro Presumido
Choose Lucro Presumido if you have a partner abroad, revenue above R$4.8 million, or margins well above the presumed profit, and your accountant has run the numbers.
What the table does not show
Why the rates look different
The Simples rates above are the nominal first and last bands in the Complementary Law 123 tables, which use revenue over the last 12 months with a deduction. Your effective rate is lower than the top band. Lucro Presumido applies 8% to commerce or 32% to general services as presumed profit, then 15% income tax, with a 10% surcharge above R$20,000 of profit per month. CSLL, PIS and Cofins are added, so ask for a full calculation.
Fator R decides many service firms
For services in the Fator R group, the payroll-to-revenue ratio over 12 months decides the annex. At 28% or more you pay under Anexo III. Below 28% you pay under Anexo V, which starts at 15.50% instead of 6.00%. A firm with a low payroll can find Lucro Presumido closer in cost near the top of the cap. Run both on your own numbers before you choose.
A foreign partner changes the choice
Article 17 of Complementary Law 123 bars a company with a partner domiciled abroad from Simples Nacional. Contabilizei concludes such a company is taxed as Lucro Presumido. For a foreign-owned LTDA this removes the option. The tax reform has rules still being phased in, so ask a Brazilian accountant to confirm the current position.
Where OCTIS fits
OCTIS does not do Brazilian tax or accounting. If your Malaysian or Hong Kong company owns a Brazilian subsidiary, a foreign partner will usually point it to Lucro Presumido, and its statements must still reach your group accounts. OCTIS keeps the Malaysian or Hong Kong side and helps fold in what your Brazilian accountant sends. Ask about 10–30% off your current bill if you pay someone else for it today.
Frequently asked questions
What is the Simples Nacional revenue limit?
R$4.8 million per year since 1 January 2018, per Receita Federal. A Microempresa is up to R$360,000 and an EPP is between R$360,000 and R$4.8 million. ICMS and ISS keep a R$3.6 million sublimit, above which you pay them to the state or city directly.
What is the Lucro Presumido limit?
R$78 million of total revenue in the previous year, or R$6.5 million times the months in activity if under 12. This comes from the Receita Federal Q&A on Lucro Presumido, edition 2021. Check that the figure has not changed.
Can I switch during the year?
Receita says the Simples option is irretratável for the whole calendar year. The Lucro Presumido option is also fixed for the year. Plan the choice before you start the year, and ask your accountant for the deadline.
What is Fator R?
The ratio of payroll to revenue over the last 12 months. For services in that group, 28% or more means Anexo III. Under 28% means Anexo V, which has higher rates. Raising payroll share can lower your annex rate.
Is Lucro Presumido cheaper than Simples for services?
Not always. Presumed profit for services is 32% of revenue, taxed on top with CSLL, PIS and Cofins. Simples can be cheaper at low revenue. Near the cap, with a low payroll, the gap narrows. Compare with real numbers.
Sources
Checked on the date above. Links open the provider's or regulator's own page.