Guatemala Seeks to Raise $58 Million with 'Anti-evasion Law'

A new attempt is being made by the Álvaro Colom government to increase tax collection by enforcing the so-called 'Anti-evasion Law'.

Tuesday, April 5, 2011

The bill contains administrative measures to improve control over and auditing of existing taxes as well as standardize aspects that seek to combat tax and customs fraud and smuggling, according to a communication from the Finance Ministry.

This initiative replaces a previous proposal to increase income tax from 4 to 6% and to raise duty on air, sea and land transport, as well as cigarettes. Guatemala's tax revenue accounts for 10% of the country's Gross Domestic Product (GDP), one of the lowest in the region.

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Costa Rica: Details of Anti Tax Evasion Bill

August 2014

Limiting the deduction of interest from income tax and eliminating the exemption from payment of 15% for dividend distribution between companies are part of the changes included in the project.

The Bill to Improve Anti-Tax Fraud, presented by the Ministry of Finance amends various tax issues that must be taken into consideration by companies operating under Costa Rican law.

Guatemalan Coffee Growers Reject Anti-Evasion Plan

September 2011

The coffee sector has announced its opposition to a proposal to establish a 5% surcharge on Income Tax (ISR in Spanish) for the agricultural sector.

A press release by Anacafé states:

The Guatemalan coffee industry via the National Coffee Association, Anacafe, has expressed concern about the establishment of a 5 percent surcharge on Income Tax,, referred to in the draft Anti-Evasion Act II which is now being considered in the Congress of the Republic. Political parties in their current campaigns have said that they will not raise taxes, their representatives in the legislative body have already made agreements to approve them.

Anti-evasion Law Creates Controversy in Honduras

April 2011

Businesses complain that the new law will give unlimited power to tax authorities to seize companies's information.

Armando Urtecho, director of the Honduran National Business Council (Cohep in Spanish), added that, "we are against too much power being given to the tax authority (DEI in Spanish) with less capacity remaining with judges to decide what is appropriate," reports

Tax Evasion in Guatemala Reaches 7% of GDP

January 2011

There is urgent need to strengthen the Superintendence of Tax Administration (SAT) with audit and control instruments.

Tax evasion reached $ 2,500 million, and businessmen insist that before a tax reform is passed, increasing tax burden and affecting competitiveness in the country, it is required "to improve the fight against tax evasion and customs smuggling."