Can a dentist open a clinic as a PJ? Understand the rules

A dentist who opens a clinic as a legal entity gains concrete tax advantages — but must comply with the rules of the CFO (Federal Council of Dentistry) and the CRO. Vivian Sampaio explains what the legislation allows, how taxation works and the steps to do it right.

What does Brazilian law say about a dentist opening a PJ?

The CFO (Federal Council of Dentistry) allows dental surgeons to practice the profession either as an individual (self-employed) or as a legal entity. CFO Resolution 196/2020 and earlier rules govern the permitted corporate structures.

The most common options are:

SLU (single-member limited liability company): a single partner, asset protection, no requirement for a second partner.
LTDA (limited liability company): when there are two or more dentist partners.
EIRELI (individual limited liability company): a single holder, with separate assets.
MEI (individual micro-entrepreneur): only for dentists with revenue up to R$ 81,000/year and no employees.

The fundamental rule: the professional must have an active CRO (Regional Council of Dentistry) registration to practice. The CRO does not prevent opening a company, but without an active professional registration, the company cannot operate.

CFO and regulation of the profession

The CFO establishes that a dental surgeon may be a partner in a legal entity that performs activities in the field of dentistry, provided that the majority of the capital is held by professionals in the field. The company must have a dentist as technical manager and comply with health-safety and professional-oversight regulations.

In short: a dentist can be a partner in a PJ dental clinic, as long as they follow the council’s rules and keep their professional registration up to date.

Difference between a dental office and a dental clinic

The difference lies in operational complexity:

Office: simple setup, one or two professionals, appointment-based. It can operate with a simplified permit.
Clinic: larger space, more professionals (dentists, assistants, receptionist), radiology equipment, surgical center. It requires a more detailed health permit and, in many municipalities, the AVCB (Fire Department Inspection Certificate).

Step-by-step for a dentist to open a company

Required documents and permits

To open a dental clinic, you will need:

An active CRO registration in the state where you practice
RG and CPF of the technical manager
Proof of commercial address (it can be residential, but it must have minimum infrastructure)
Municipal operating permit
Health permit from the Municipal Health Surveillance authority
AVCB (if the clinic has surgical or in-patient facilities)
CNPJ (company tax ID; registration with the state’s Board of Trade)
Municipal registration (ISS) for the collection of the service tax

CNPJ, municipal and state registration

The CNPJ (company tax ID) is obtained after registration with the Board of Trade. For dentists, the most commonly used CNAE codes are:

86.32-1: General dentistry clinic activity
86.40-2: Radiology and diagnostic imaging clinic activity (when applicable)
86.50-0: Activity of other health professionals (specialties)

Municipal registration (ISS) is mandatory for dental services. The rate varies by municipality, generally between 2% and 5% of revenue.

Operating permit and AVCB

The municipal permit is issued by City Hall after a documentary review. The health permit is handled by the local Health Surveillance authority and requires standards for ergonomics, sterilization and disposal of biological waste.

The AVCB is required for clinics above a certain size or with surgical procedures. In some municipalities, smaller offices are exempt.

Tax regime for a dental office

Simples Nacional: advantages and limitations

Simples Nacional (simplified tax regime) is the option most chosen by dental offices. The rate varies according to the r factor (the ratio between payroll and revenue):

r factor >= 28%: Annex III, rates from 6% to 11.52% on revenue.
r factor < 28%: Annex IV, with higher rates, reaching 33% at higher revenue levels.

For offices with one or two dentists and a small payroll, the r factor tends to be low — which can push the business into Annex IV. In that case, it is worth comparing with Lucro Presumido (presumed-profit regime).

ISS and municipal collections

The ISS on dental services varies from 2% to 5% depending on the city. In São Paulo, for example, the ISS rate for health services is 2.9%. This amount is included in the monthly calculation and must be paid together with the other taxes under Simples, or calculated separately under Lucro Presumido.

Frequently asked questions

Can a dentist be an MEI?

Yes, they can — but with important restrictions:

Maximum revenue of R$ 81,000 per year (R$ 6,750/month)
No employees allowed (or you may have one on minimum pay)
The activity must be low-risk (a simple office, with no complex surgical procedures)

In practice, few dentists fit the MEI (individual micro-entrepreneur) profile because the profession’s average revenue generally exceeds the limit.

Which CNAE to use for a dental clinic?

The main CNAE code should reflect the activity actually carried out. For general dentistry, the most common is 86.32-1 (General dentistry clinic activity). For specialties (orthodontics, implantology), the CNAE may be more specific — but it can never reflect an activity that is not actually performed.

Which professionals can work in the clinic?

A dental clinic may have:

Dental surgeons (with an active CRO)
Oral health assistants (registered with the CFO)
Receptionists and administrative staff
Radiology technicians (when there is imaging equipment)

The ratio of professionals per team and the documentation requirements vary according to the rules of the CFO and Health Surveillance.

Costs and monthly upkeep

The monthly costs of a dental clinic include:

Accounting: R$ 400 to R$ 1,200/month (depending on size)
Municipal ISS: varies by municipality, calculated on revenue
GPS (partner’s INSS): 11% on the defined pro-labore
Rent and operations: varies by location
Disposables and sterilization: a recurring cost that can vary considerably

For a clinic with two dentists billing R$ 40,000/month, the total tax burden (Simples Nacional + ISS + GPS) is around R$ 6,500 to R$ 8,000/month, depending on the r factor.

For an overview of how the Naprática hub organizes this type of content — accounting, taxation and management treated as a practical decision for anyone in business — the welcome post is the hub’s starting point.

Dentists who want to better understand their monthly accounting obligations can check this article on the accounting obligations of the incorporated independent professional (PJ).

And for those weighing whether incorporating is worth it compared to staying as an individual, the calculation should consider not only taxation but also the cost of accounting and ancillary obligations. Talk to the VMAHUB team to run the numbers for your case.

If you don’t yet have an organized record-keeping system, see how to open a company as an independent professional to structure things from the start.

If your company is already behind on its obligations, talk to the VMAHUB team to assess the situation and build a compliance plan.

For other health professionals, check out the tax regime for doctors who incorporate — the analysis follows the same logic.