BLP – TAX NEWS ONLINE JULY, 2018

GAZETTE SUMMARY

Costa Rica

–June 2018–

 

BILLS OF LAW

Strengthening of Public Finances

This bill of law intends to transform the current Sales Tax into a Value-Added Tax that would apply to all services.  In addition, it presents important amendmentsto the Income Tax Law, such as the tax on capital gains.

(Published in the Digital Appendix No. 120 of the National Gazette No.109 on June 19, 2018)

 

RESOLUTIONS

Variation in the value of properties subject to high-value housing tax

Through Resolution No. DGT-R-023-2018 on May 22, 2018, the Tax Administration established the procedure for de-registrations based on variations in the value of houses, subject to payment of the solidarity or tax of high value homes, as it is known.

The requests for de-registrations made by taxpayers will be reviewed by the Tax Valuation Area of the Tax Authorities.

(Publishedin the National Gazette No. 106 on June 14, 2018)

Generic exemption for the Legislative Assembly

Through Resolution No. DGH-041-2018 issued on June 5, 2018, the Tax Administration, granted an authorization of a generic exemption for a 24 month period in favor of the Legislative Assembly to acquire goods and services in the national market exempt from the General Sales Tax or the Excise Tax, as needed for the construction of its new site.

 

case law

Decision No. 2017-00639

Through decision No. 2017-00639 issued on January 18, 2017, a declaration of unconstitutionality was declared, as processed under the number 15-006280-007-CO, against the repeated judicial criterion of the First Chamber of the Supreme Court of Justice, in relation to article 86 of the Tax Code, according to which, once the infraction established in the third paragraph of said article has been committed, the business closure sanction must be applied without further analysis and without regard to the particularities of the case or any other extenuating circumstances. Instead, the decision states that if the closure sanction is necessary, it must be assessed in each specific case. This ruling will take legal effect from its full publication except in the specific case where it will have immediate effect.

(Published in the Judicial Newsletter No. 107 on June 15, 2018)

 

 TAX OBLIGATIONS FOR JULY 2018

Date Type of Tax Return
10 –      D-150 Annual Return: Summary of payments or withholdings made on account of the Income Tax

–      D-155 Monthly statement of summary of withholdings payment on account of  sales tax and income tax

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

–      D-160 Quarterly statement on the returns and capital gains of investment funds.

–      D-161 Quarterly statement on cash registers

15 –      D-103: Withholding Tax

–      D-104: General Sales Tax

–      D-105 Simplified Regime

–      D-106 Excise Taxes

–      D-107: Casino Tax

–      D-114: Single tax per fuel type

–      D-117: Specific tax on alcoholic beverages

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

–      Tax on Tobacco products

–      Parafiscal contribution on telephonic services

tax-relevant information

Current 2018 Base Salary ¢431.000
Current Interest Rate (April 1, 2018) 13.73%
Reference Exchange Rate – BCCR USD

(June 30, 2018)

Purchase: ¢563.44
Sale: ¢570.08