Popularly known as LTDA, the Limited Liability Company is a business model in which each partner (at most 7) ​​has a determined participation according to its contribution. Or rather, each has a share of the company’s share capital. This means that, in the event of bankruptcy, termination or closure of the company, the personal assets of each partner will be protected.

SA – Limited Company

The SA is a for-profit company formed by more than 7 partners and whose capital is divided into shares. Its partners are called shareholders and their responsibilities are limited according to the value of the acquired shares. The shares can only be issued with authorization from the Brazilian Securities and Exchange Commission (CVM) and only they will be used as financial guarantee of the company in case of debts. Make use of the sales tax calculator by zip code there now.

To find out more details about each legal format, just click here and access a complete material about them. Based on this knowledge, we can move on to the definition of existing tax regimes, another essential topic when it comes to billing taxes.

Understand the forms of taxation permitted by law

Like the legal formats, we have already talked a lot here on the blog about the forms of taxation imposed by Brazilian legislation. Here in this link, you will find a very detailed material about them. However, we are going to do an overview below, to remember the main points of each one. Follow!

Simple national

The National Simple is a tax option for companies with revenues of up to R $ 4.8 million per year and not develop impeding activities for this profile, such as consulting firms, engineering or management. Created in 2006, it is one of the most used regimes in the country and its objective is to simplify the payment of taxes, uniting everyone in the same guide. Simples offers other advantages, such as lower rates compared to other regimes – which vary according to the company’s revenue and activity. In addition, it is also used as a tiebreaker in bids.

Real profit

As its name suggests, in this tax regime taxes are based on the company’s real profit and are levied on monthly or quarterly revenue, according to the choice of the entrepreneur . Any business can be part of the Real Profit, however, in some cases, the tax classification in this regime is mandatory, as is the case with commercial banks and securities brokers, for example, and also with companies in any segment that have annual gross revenue above R $ 78 million in the previous year.

Presumed profit

In this case, the incidence of taxes is based on the estimate of the company’s profit, not the actual profit it obtained. Any enterprise that is not obliged to adhere to the Real Profit can opt for this tax regime. The presumed income is suitable for companies with higher profit margin than the presumption, as well as for those who have few operating and payroll costs.