Article 9bis of the Income Tax Law determined the maximum deducibility limit for non-bank interest, which is 20% of the profit before interest, taxes, depreciation, and amortization (EBITDA). Likewise, this article established that the Treasury has to regulate the procedure for the taxpayer to apply a different limit for the deductibility of net interest expense…
Tag Archives: Costa Rica
01
Jan
Jan
Weekdays: Restrictions applicable Monday to Friday from 5:00 am to 7:00 pm (with exceptions – see attached communication): Monday – Vehicles with a license plate or AGV permit ending in 1 and 2 do not circulate. Tuesday – Vehicles with a plate or AGV permit ending in 3 and 4 do not circulate. Wednesday – Vehicles…
Blog, News
Legislative Assembly of Costa Rica suspends sanctions for lack of registration of final beneficiaries
01
Jan
Jan
Moratorium on sanctions is established for 3 months. The fines that were suspended amount to 2% of gross income of the previous fiscal year, with a minimum of 3 base salaries and a limit of 100 base salaries. On January 29, 2020, the plenary of the Legislative Assembly approved a moratorium for the application of…
01
Jan
Jan
New rules were established for the letter of exception to the sanitary vehicle restriction*: As of August 1, all letters of exception to the restriction of sanitary vehicles must be re-issued, indicating the new date on which they were written. These letters will be valid for two months, starting from their date of issue. Such…
01
Jan
Jan
For reasons of force majeure, or public interest, the Public Administration can declare the suspension of a contract (article 210 of the Public Contracting Regulations), the suspension of the contract’s term (207 of the Public Contracting Regulations) or even revoke the contract (article 11 of the Public Contracting Law and article 214 of its Regulations,…
01
Jan
Jan
Costa Rica, a country of 51,060 square kilometers (19,714 sq. mi.) with a population of approximately 5 million, has recently appeared in the media for its achievements on the management of the COVID-19 health crisis. The fact is that Costa Rica has been doing things differently for a while, and this small country has taken…
01
Jan
Jan
As previously indicated, the deadline to file the 2020 sworn statement for the Transparency and Final Beneficiaries Registry was initially moved up to September, 2020. The Tax Authorities and the Costa Rican Drug Institute, however, issued a new resolution, in light of the continuous irregular situation generated by COVID-19. This new resolution, numbered DGT-ICD-R-19-2020, ordered…
01
Jan
Jan
On Saturday, March 21, 2020, the Legislative Assembly of Costa Rica approved the law that allows employers to reduce the hours and wages of workers, as a measure of relief and support in the face of the Coronavirus pandemic. The law is to give an employer the ability to cut wages and hours by 50%,…
01
Jan
Jan
Definition. What is contract rescission (termination)? It’s an unusual cause for contract termination. It’s caused by a variation in the agreed essential conditions which prevent contract performance, such as fortuitous event, force majeure or public interest reasons. Theses causes must be justified or proven. Termination is total. The parties dispense with the initial terms of the contract….
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Resolution of the Costa Rica´s Customs Directorate on documentary and / or physical review with photocopies in Costa Rica
01
Jan
Jan
During the term of the State of National Emergency, the Costa Rica´s Customs Directorate authorized the documentary and physical verification of the documents and merchandise with copies, impressions or simple photocopies of the documents required by each regime and modality. Responsibility: The Auxiliaries of the Customs Public Function, importers and exporters, as indicated by law,…