A “simple” path to formal employment | Division for Inclusive Social Development (DISD)

Wilker Barbosa is the owner of Eventhus Buffett, a small business in Brasilia that organizes parties, dinners, birthdays and weddings. From the food to the waiters, he provides clients with everything they need for a successful event.

Barbosa’s business started out in the informal sector in May 2008, but only two months later his company became part of the formal economy. According to Barbosa, that change was mainly due to his decision to join SUPERSIMPLES, a government programme that has reduced taxes and simplified regulations for many small businesses in Brazil.

"For me, it's a great system," Barbosa says. “Just to give you an example, when I started my business I paid R$ 90 (about US$39.50) in taxes for every R$ 1,000.00 (about US$439) billed. After joining SUPERSIMPLES, I only paid R$ 40 (US$17.55) for every R$ 1,000 earned.” Since joining the system, Barbosa has profited from tax credits of around 40 per cent per year.

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