Micro and Small Businesses in Brazil Have Until January 30 to Renegotiate Federal Debts with Up to 100% Discounts

Microentrepreneurs (MEI), microenterprises, and small businesses across Brazil have a significant opportunity to renegotiate their federal debts with exceptional benefits until January 30, 2026. This initiative, extended by the Attorney General's Office of the National Treasury (PGFN) under Public Notice No. 11/2025, allows businesses to settle tax liabilities with discounts that can reach up to 100% on interest, fines, and legal charges. Additionally, extended payment terms are available, providing much-needed relief for small business owners struggling with federal debt.

The renegotiation encompasses different transaction modalities based on the taxpayer's payment capacity. These include arrangements for debts classified as irrecoverable, small-value debts capped at 60 minimum wages, and debts secured by guarantee insurance or letters of guarantee. To participate, business owners must consult their debts and formalize their adherence solely through PGFN's official channels.

It is important to note that this debt renegotiation program is separate from the reclassification request related to the Simples Nacional tax regime. The deadline for debt renegotiation is January 30, 2026, while MEIs aiming to return to Simples Nacional have until January 31, 2026.

This measure by the Brazilian government aims to alleviate financial pressures on the backbone of the nation's economy—micro and small businesses. The broad discounts, flexible terms, and diverse negotiation options present an unprecedented chance for many entrepreneurs to regain financial stability and continue growing their enterprises.