Inactive entities have an additional three months to file the simplified income tax return, which was due no later than 15 March 2022.
On 10 March 2022, Costa Rica enacted a law simplifying tax obligations for inactive entities and granting a three-month extension for filing the simplified income tax return, which was due 15 March 2022.
The law establishes that inactive entities must only provide the tax authority with a high-level of detail on assets, liabilities and capital, through a summarized and simplified tax return that minimizes compliance costs. If the information does not change in following years, taxpayers must only confirm the information provided in the previous tax return.
The law also allows non-domiciled entities assigned legal ID 3-012 to request the removal of that legal ID, which would eliminate certain compliance obligations they must currently satisfy.
Additionally, the law grants a three-month extension to inactive entities for filing the simplified income tax return, which was due no later than 15 March 2022.
For additional information with respect to this Alert, please contact the following:
Ernst & Young, S.A., San José, Costa Rica
Rafael Sayagués
Randall Oquendo
Daniel Quesada
Ernst & Young LLP (United States), Latin American Business Center, New York
Ana Mingramm
Lucas Moreno
Enrique Perez Grovas
Pablo Wejcman
Ernst & Young Abogados, Latin America Business Center, Madrid
- Jaime Vargas
Ernst & Young LLP (United Kingdom), Latin America Business Center, London
- Lourdes Libreros
Ernst & Young Tax Co., Latin America Business Center, Japan & Asia Pacific
Raul Moreno, Tokyo
Luis Coronado, Singapore
For a full listing of contacts and email addresses, please click on the Tax News Update: Global Edition (GTNU) version of this Alert.
