Chitosan beads were prepared, using glutaraldehyde as a crosslinking agent for the immobilization of soybean hull peroxidase (SBP). The activity of free and immobilized SBP was studied. The optimum pH was 6.0 for both the free and immobilized enzyme; however, enzyme activity became more dependent on the temperature after immobilization. This study evaluated the potential use of immobilized and free enzyme in the oxidation of caffeic acid, of synthetic phenolic solution (SPS) and of total phenolic compounds in coffee processing wastewater (CPW). Some factors, such as reaction time, amount of H2O2 and caffeic acid were evaluated, in order to determine the optimum conditions for enzyme performance. Both enzymes showed a potential in the removal of caffeic acid, SPS and CPW, and immobilized SBP had the highest oxidation performance. The immobilized enzyme showed a potential of 50% in the oxidation of caffeic acid after 4 consecutive cycles.