October 6, 2022
Ecuadorian Tax Authority reforms definitions and tax treatment for Tax Havens, Minor Tax Jurisdictions and Special Tax Regimes
Modification of the tax haven list
The following jurisdictions and regimes have been removed from the list of tax havens effective as of 3 October 2022:
Other applicable changes in the Law
Furthermore, the Ecuadorian Internal Revenue Service eliminated the following concepts: minor tax jurisdiction, special tax regime, special tax regimes specifically in Costa Rica, Netherlands, New Zealand, and the United Kingdom.
At the moment, there is no regulatory or complementary legislation on these changes. Accordingly, it is anticipated that the Tax Authority will confirm whether it will issue new legislation or if such concepts are indefinitely eliminated.
For additional information with respect to this Alert, please contact the following:
EY Addvalue Asesores Cia. Ltda., Quito
EY Addvalue Asesores Cia. Ltda., Guayaquil
Ernst & Young LLP (United States), Latin America 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