Tax for Legal Entities in Costa Rica

Legal entities not reporting activity should de-register in June otherwise they will have to pay this tax.

Thursday, June 7, 2012

If the owners of inactive companies do not de register, they will have to pay the tax, which is half of a basic monthly salary (currently $358.45 or ¢180,300) for active entities and 25% for inactive ones (¢ 90,150 would or $179.23).

"In addition, the owner will face penalty interest, which is an annual rate of 13.30%, representing a daily interest of ¢50 for active partnerships and ¢25 for inactive ones, said Carlos Camacho, president of Grupo Camacho" as reported by Nacion.com.

If an owner does not pay the tax for three periods (2011, 2012 and 2013), the company will be dissolved.



More on this topic

Collection of Tax on Legal Persons

January 2013

Jan. 31 is the deadline in Costa Rica for the annual payment of the corporation tax.

Companies which are active must pay an amount of ¢189,700 colones ($378) and inactive companies will pay the amount of ¢94,850 ($189).

The Banco de Costa Rica, which is the concessionaire institution for the collection of this tax, announced that from the beginning of the year it will be receiving the tax payments, up until 31 January, the date from which it a late fee of ¢54 (just over $0.11) will be charged.

The Problems of Corporations Tax

May 2012

Lack of clarity in the text of Costa Rica’s law imposing a tax on corporations, is creating ambiguities and difficulties in collection.

The National Registry is experiencing many difficulties in implementing the collection of tax on corporations, because it lacks allocated funds to proceed, and the registry of MSMEs at the Ministry of Economy, Industry and Commerce (MEIC) is not very helpful because of its own shortcomings.

Corporations Tax Collection Starts

March 2012

Starting on Monday all companies enrolled in the National Registry of Costa Rica, must pay an annual tribute established by Law 9024.

The basis for calculating the new tax is 50% of a basic monthly salary, which is 180,300 colones ($357) in 2012, and 90,150 colones ($178.5) or half, for inactive companies for each year from January to December.

Tax On Registered Companies in Costa Rica

January 2012

A new annual tax applied to existing and new legally registered companies will become effective on April 1st.

Law 9024, the Company Tax Law, imposes a tax on all corporations, as well as branches of foreign companies or their representatives and individual limited liability companies that are registered or hereafter entered in the National Registry.