BLP – Tax Monthly Review February 2019

SUMMARY OF THE OFFICIAL GAZETTE –January 2019 

 

Law Projects

Amendment to articles 106 bis and 106 ter of the Tax Code

This Bill intends to update articles 106 bis and 106 ter of the Tax Standards and Procedures Code, in such a way that it will allow the Tax Authorities to access information held by entities, which it may require for its tax control actions to become more efficient.

(Published in Digital Scope No. 12 of La Gaceta No. 17 of January 17, 2019).

 

Amendment to the Free Zone Regime Law

This amendment intends to ensure compliance with the standards and criteria established by the Organization for Economic Co-operation and Development (OECD) for the Inclusive Framework of the “Action Plan on Base Erosion and Profit Shifting” (BEPS, “ACTION 5”).

The foregoing because it was determined that in the Free Zone Regime Law, specifically for sales made by service companies, its regulations are not in line with BEPS “Action 5”; therefore, the country must make sure the regime’s characteristics guarantee equal treatment and does not discriminate between domestic and foreign investments.

(Published in Digital Scope No. 12 of La Gaceta No. 17 of January 17, 2019.)

 

executive decrees

Update of the tax on Specific tax on non-alcoholic bottled beverages and toilet soaps

The amount of specific taxes on non-alcoholic bottled beverages (with the exception of milk) and toilet soaps was updated, as set forth in the following table:

Type of beverage Tax (colones per consumption unit)
Carbonated soft drinks and carbonated soft drink concentrates 19.09
Other liquid bottled beverages (including water) 14.16
Water (18-liter bottles and larger) 6.60
Tax per gram of toilet soap 0.241

*These amounts are effective as of January 1st, 2019.

(Through Executive Decree No. 41495-H, published in Digital Scope No. 7 of La Gaceta No. 7 of  January 10, 2019)

 

Update of the solidarity tax for the Strengthening of Housing Programs

The amounts for the solidarity tax for the Strengthening of Housing Programs was updated, as set forth in the following table:

Value Rate
Up to     ¢329,000,000.00 0.25%
Over ¢329,000,000.00 and up to     ¢659,000,000.00 0.30%
Over ¢659,000,000.00 and up to     ¢988,000,000.00 0.35%
Over ¢988,000,000.00 and up to  ¢1,318,000,000.00 0.40%
Over ¢1,318,000,000.00 and up to ¢1,646,000,000.00 0.45%
Over ¢1,646,000,000.00 and up to ¢1,978,000,000.00 0.50%
0.55%

*These amounts are effective as of January 1st, 2019.

(Through Executive Decree No. 41478-H of December 10, 2018, published in Digital Scope No. 7 of La Gaceta No. 7 of January 10, 2019)

 

Update on the single tax per fuel type

The amounts for the single tax per fuel type was updated, as indicated in the following table:

Type of fuel per liter Tax (colones)
Regular gasoline 246.25
“Super” gasoline 257.75
Diesel 145.50
Asphalt 50.00
Asphaltic Emulsion 37.75
Bunker fuel 23.75
LPG 50.00
Jet Fuel A1 147.75
Av Gas 246.25
Kerosene 70.25
Heavy Diesel 48.00
Heavy Nafta 35.50
Light Nafta 35.50

*These amounts are effective as of February 1st, 2019.

(Executive Decree No. 41524-H of January 17, 2019, published in La Gaceta No. 22 of January 31, 2019.)

 

administrative resolutions

Update of the specific tax on alcoholic beverages.  The amounts of the specific tax for each milliliter of absolute alcohol levied upon alcoholic beverages, produced nationally or imported, is updated as follows:

Percentage of alcohol per volume Tax (colones per milliliter of absolute alcohol)
Up to 15% 3.35
More than 15% and up to 30% 4.02
More than 30% 4.68

*Effective as of February 1st, 2019.

(Resolution No. RES-DGH-001-2019.— of January 8, 2019, published in La Gaceta No. 22 of January 31, 2019.

 

Exemption amount for immovable property tax

As set forth in Resolution No. RES-DGH-ONT-002-2018 of the Internal Revenue Department, it was established that for the 2019 period, immovable properties not affected by immovable property tax will be for taxpayers who own only one property and if the property’s registered value does not exceed ₡20,079,000.00.

The foregoing, provided that the immovable property is the only asset owned by the taxpayer and only applies to individuals.  In the event that the immovable property exceeds such value, tax must be paid over the excess amount.

(Published in La Gaceta No. 6 of January 9, 2019.)

 

tax obligations for February 2019

Date Type of tax returns to file
11 –        D-150 Summary of withholdings made on account of Income Tax.

–        D-155 Monthly Statement of the summary of withholdings payment on account of sales tax and income tax.

 

14 –        D-113 Income Tax and Capital Gains from investment funds.
 

15

–          D-103 Withholding Tax

–        D-104 General Sales Tax

–        D-106 Excise Tax

–        D-107 Casinos Tax

–        D-114 Single Tax per Fuel Type

–        D-117 Tax on Alcoholic Beverages

–        D-171 Specific tax on non-alcoholic bottled beverages and toilet soaps

–        Tax on Tobacco Products

 

relevant tax information

Current base salary 2019 ¢446,200
Current interest rate (October 1st, 2018) 13.01%
Exchange Rate – BCCR USD reference

(January 31st, 2018)

Buy: ¢ 607,85
Sell: ¢ 614,17

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