APRIL 2015: VAT in the Latin AMERICAS

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VAT is called IVA in most Spanish language countries

(Value Added Tax = Impuesto al Valor Agregado)

If you do business in the southern countries of the Americas you should make sure that the IVA (VAT) on Travel Expenses, Trade Shows, Events and other business related expenses should be taken care of in the best possible way.

IMPORT IVA for goods imported PERMANENTLY (to customers and local divisions or your own company) or TEMPORARILY (demo's, trade shows, repair or returns) are often overlooked by the shipping or trade show staff or freight handlers.

What can you lose if IVA is not taken care of?  See the VAT rates below and check your sales and expenses in the Latin American countries!  Otherwise the IVA OR IMPORT IVA may cut into your profits and cash flow.

The standard IVA RATES in Latin America are as follows:

ARGENTINA21% EL SALVADOR13%
ARUBA15% GUATEMALA12%
BOLIVIA13% HONDURAS12%
BRAZIL17% ICMS/federal plus 1 or 2 % local = 18 or 19 % MEXICO16%
CHILE19% NICARAGUA15%
COLOMBIA16% PANAMA7/10%
COSTA RICA13% PARAGUAY10%
CUBA20% PERU16%
DOMINICAN REP.16% URUGUAY22%
ECUADOR12% VENEZUELA12%

 

If you have questions concerning pro's and con's for IVA REGISTRATION to cover your activities INSIDE any IVA or VAT country feel free to contact us by e-mail: vatinfo@insatax.com or TOLL-FREE 1-866 332-4777 (North America only).


Call us toll-free at 1-866-332-4777 (Canada/USA) or use this form for more information

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