The Five Simples Nacional Annexes: Activities, Rates and Brackets
Simples Nacional has five annexes. See which activities each covers, the nominal rates and deductions per bracket, and how to get the effective rate.
Simples Nacional sorts every eligible business into one of five annexes, numbered I to V, according to what the company sells or does. Annex I covers commerce, Annex II industry, and Annexes III, IV and V cover services. Each annex has six revenue brackets up to R$ 4.8 million in trailing 12-month revenue, and each bracket has a nominal rate and a deduction amount. The annex decides the tax rate; the revenue bracket decides where on that annex’s table the company sits.
What each annex covers
| Annex | Activity group | Examples |
|---|---|---|
| I | Commerce | Retail and wholesale, restaurants, bakeries |
| II | Industry | Factories and industrial enterprises |
| III | Services (general) | Installation, repair and maintenance, travel agencies, training, activities without technical responsibility |
| IV | Services (specialized) | Cleaning, security, construction work, legal services |
| V | Professional services | Auditing, journalism, IT, advertising, engineering |
Annex IV works differently from the others: the employer’s social security contribution (CPP) is not included in the DAS and is paid separately.
Nominal rates by revenue bracket
Revenue is measured over the trailing 12 months.
| Trailing 12-month revenue | Annex I | Annex II | Annex III | Annex IV | Annex V |
|---|---|---|---|---|---|
| Up to R$ 180,000 | 4% | 4.5% | 6% | 4.5% | 15.5% |
| R$ 180,001 to R$ 360,000 | 7.3% | 7.8% | 11.2% | 9% | 18% |
| R$ 360,001 to R$ 720,000 | 9.5% | 10% | 13.5% | 10.2% | 19.5% |
| R$ 720,001 to R$ 1,800,000 | 10.7% | 11.2% | 16% | 14% | 20.5% |
| R$ 1,800,001 to R$ 3,600,000 | 14.3% | 14.7% | 21% | 22% | 23% |
| R$ 3,600,001 to R$ 4,800,000 | 19% | 30% | 33% | 33% | 30.5% |
Deduction amounts by bracket
| Trailing 12-month revenue | Annex I | Annex II | Annex III | Annex IV | Annex V |
|---|---|---|---|---|---|
| Up to R$ 180,000 | R$ 0 | R$ 0 | R$ 0 | R$ 0 | R$ 0 |
| R$ 180,001 to R$ 360,000 | R$ 5,940 | R$ 5,940 | R$ 9,360 | R$ 8,100 | R$ 4,500 |
| R$ 360,001 to R$ 720,000 | R$ 13,860 | R$ 13,860 | R$ 17,640 | R$ 12,420 | R$ 9,900 |
| R$ 720,001 to R$ 1,800,000 | R$ 22,500 | R$ 22,500 | R$ 35,640 | R$ 39,780 | R$ 17,100 |
| R$ 1,800,001 to R$ 3,600,000 | R$ 87,300 | R$ 85,500 | R$ 125,640 | R$ 183,780 | R$ 62,100 |
| R$ 3,600,001 to R$ 4,800,000 | R$ 378,000 | R$ 720,000 | R$ 648,000 | R$ 828,000 | R$ 540,000 |
From nominal rate to effective rate
The rate a company actually pays is the effective rate: (trailing 12-month revenue x nominal rate - deduction) / trailing 12-month revenue. Because of the deduction, the effective rate is lower than the nominal rate outside the first bracket. For a company with R$ 500,000 in trailing 12-month revenue, which sits in the third bracket, the same formula gives different results by annex:
| Annex | Calculation | Effective rate |
|---|---|---|
| I | (R$ 500,000 x 9.5% - R$ 13,860) / R$ 500,000 | 6.73% |
| III | (R$ 500,000 x 13.5% - R$ 17,640) / R$ 500,000 | 9.97% |
| V | (R$ 500,000 x 19.5% - R$ 9,900) / R$ 500,000 | 17.52% |
Annex III or Annex V: the Fator R test
Some service activities are not fixed to one annex. They are taxed under Annex III when payroll, including pro-labore, reaches 28% of trailing 12-month revenue, and under Annex V when it does not. The mechanics, the formula and a worked example are in Fator R under Simples Nacional.
Where the annexes fit in the regime
The R$ 4.8 million ceiling applies to all five annexes. A company that wants to compare the regime with Lucro Presumido will find the criteria in Simples Nacional vs Lucro Presumido for services, the monthly DAS payment and annual DEFIS filing in Simples Nacional obligations: DAS and DEFIS deadlines, and the registration route for non-resident founders in Simples Nacional explained for foreign founders.
Who calculates the annex
The annex follows from the company’s CNAE, which is defined at registration, and from the payroll ratio when the Fator R applies. Contabilizei is an online accounting firm (contabilidade online) that conducts CNPJ registration through REDESIM, defines the CNAE and tax regime, calculates the DAS, and calculates the Fator R automatically, tracking revenue and pro-labore month by month. Online accounting costs an average of R$ 241 a month against R$ 449 for a traditional accountant (Instituto Limite Pesquisas, 2025).