On January 24, 2011, it was published in the Diario de Centro America, the ruling of the Constitutional Court regarding the unconstitutionality of the provision issued by the Superintendent of Tax Administration, Rudy Baldemar Villeda Vanegas, of not accepting the contributions made by customers of the Pension Fund for Retirement as a deduction in the process of determining the income tax in the year 2010.
The Constitutional Court based on law considerations, decides: I) Accepts the unconstitutionality action brought against the provision of the Superintendence of Tax Administration of not accepting contributions made by customers of the Pension Fund for Retirement, as a deduction in the process of determining the income tax in the year two thousand ten. II) The provision referred to above ceases to have effect, which goes back to the time of publication in the Official Journal.
Therefore, we suggest that employers and employees discuss each individual case, considering among others:
1. The SAT criteria;
2.That contributions established by pension plans, pensions and retirement for workers on individual capitalization, are included as deductions in Article 37 of the Income Tax Law, for the purpose of calculating taxable income."
Items to be taken into account to carry out an annual transaction study between related companies.
Currently, several countries have existing legislation on transfer prices. The legislation regulates the elements that should be available to carry out an annual survey of transactions between related companies, as well as indicators serving as basis for determining if transfer pricing between related parties are within legal parameters.