Sign up for tax alert emails    GTNU homepage    Tax newsroom    Email document    Print document    Download document

January 9, 2020
2020-5027

Costa Rica’s tax authorities issue guidance on the tax obligations for “inactive companies”

On 20 December 2019, Costa Rica’s tax authorities published, in the Official Gazette, Resolution No. DGT-R-075-2019 (the Resolution), on the obligation of “inactive companies” (i.e., entities that do not carry on a trade or business in Costa Rica) to register with the Tax Registry and file a specific tax return. The Resolution is effective as of the date of its publication in the Official Gazette.

According to the Resolution, inactive companies domiciled in Costa Rica must register in the Tax Registry (in Spanish: Registro Único Tributario) under activity code “960113 – companies incorporated in the country that do not carry out any trade or business of Costa Rican source” and include their legal representatives’ information and an updated address. Inactive companies should register under this new “activity code,” by the date corresponding to the last digit of their corporate ID numbers as follows:

Corporate ID number last digit
Month

1 and 2

During the calendar month following the Resolution’s effective date

3 and 4

During the second calendar month following the Resolution’s effective date

5 and 6

During the third calendar month following the Resolution’s effective date

7 and 8

During the fourth calendar month following the Resolution’s effective date

9 and 0

During the fifth calendar month following the Resolution’s effective date

Inactive companies that previously registered before the Resolution’s publication will be assigned activity code 960113.

All inactive companies must submit information on their assets, liabilities and capital on Form D-135, “Declaration of Assets for Inactive Companies.” Inactive companies must file this form annually within two months and 15 calendar days from the end of the tax year for income tax purposes. The form must be filed even if the information has not changed from the previous year.

The Resolution amends Resolution No. DGT-R-012-2018 to provide that legal entities registered under activity 960113 cannot issue electronic invoices.

For additional information with respect to this Alert, please contact the following:

Ernst & Young, S.A., San José, Costa Rica
Ernst & Young LLP (United States), Latin American Business Center, New York
Ernst & Young LLP (United Kingdom), Latin American Business Center, London
Ernst & Young Tax Co., Latin American Business Center, Japan & Asia Pacific

ATTACHMENT

 

 
 

The information contained herein is general in nature and is not intended, and should not be construed, as legal, accounting or tax advice or opinion provided by Ernst & Young LLP to the reader. The reader also is cautioned that this material may not be applicable to, or suitable for, the reader's specific circumstances or needs, and may require consideration of non-tax and other tax factors if any action is to be contemplated. The reader should contact his or her Ernst & Young LLP or other tax professional prior to taking any action based upon this information. Ernst & Young LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect the information contained herein.

 

Copyright © 2024, Ernst & Young LLP.

 

All rights reserved. No part of this document may be reproduced, retransmitted or otherwise redistributed in any form or by any means, electronic or mechanical, including by photocopying, facsimile transmission, recording, rekeying, or using any information storage and retrieval system, without written permission from Ernst & Young LLP.

 

Any U.S. tax advice contained herein was not intended or written to be used, and cannot be used, by the recipient for the purpose of avoiding penalties that may be imposed under the Internal Revenue Code or applicable state or local tax law provisions.

 

"EY" refers to the global organisation, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients.

 

Privacy  |  Cookies  |  BCR  |  Legal  |  Global Code of Conduct