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Costa Rica

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Tax authorities

Ministerio de Comercio Exterior de Costa Rica
Apartado 96-2050, San José, Costa Rica
Tel: +506 299 4700
Fax: +506 255 3281
Website: www.comex.go.cr

Tax rates at a glance

(As of September 2009) 

Corporate income tax rate (%) 30(a)
Capital gains tax rate (%) 0/30(a)
Branch tax rate (%) 30(a)

Withholding tax (%)
Dividends 15(b)
Interest 15(c)(d)
Royalties from know-how and technical services 25(c)
Transportation and telecommunications 8.5(c)(e)
Salaries and pensions 10(c)
Fees and commissions 15(c)
Reinsurance 5.5(c)(e)
News services, videos and films 20(c)(e)
Other 30(c)
Branch remittance tax 15

Net operating losses (years)
Carryback 0
Carryforward 3/5(f)

(a) The 30% rate is reduced to 10% or 20% for companies whose annual gross income is not more than specified amounts.
(b) This withholding tax applies to dividends paid to nondomiciled business entities and to domiciled and nondomiciled individuals. The withholding tax is considered a final tax.
(c) This is a final withholding tax that is imposed on nondomiciled companies and nondomiciled individuals.
(d) Interest paid by qualified banks and financial institutions registered with the Banco Central de Costa Rica (central bank) is exempt from tax.
(e) Nondomiciled companies engaged in these types of activities through a permanent establishment in Costa Rica that do not file an income tax return may be subject to an imputed amount of taxable income equivalent to 10.5%, 15% or 30% of their total gross income derived in Costa Rica. The applicable percentage depends on the type of business activity. Imputed taxable income is subject to the ordinary corporate income tax rate.
(f) Industrial companies may carry forward net operating losses incurred in their first five years of operations for five years, and they may carry forward net operating losses incurred in subsequent years for three years. Agricultural companies may carry forward net operating losses for five years.

Source: Ernst & Young

See also

Costa Rica
Latin America (Regional Rankings)

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