Estimated Reading Time: 5 Minutes Did you know you have certain legal obligations when owning a corporation in Costa Rica? Corporations are used to do business and often to hold property. For many years, lawyers have recommended that foreigners use a corporation to own property in Costa Rica for liability reasons. Money laundering laws have…
Estimated Reading Time: 7 Minutes The annual Costa Rica property tax runs from the 1st of January until the 31st of December. You can pay the property tax quarterly. The percentage of the yearly property tax is 0,25%, as regulated by Law 7509. The correct way of calculating the Costa Rica property tax or impuesto…
Estimated Reading Time: 4 Minutes If you own an active or non-active corporation, you will want to know how much corporation tax Costa Rica (in Spanish: impuesto a las personas jurídicas) must be paid this year. The 2023 corporation tax 2023 must be paid before January 31st, 2024. Those who fail to comply with this…
Estimated Reading Time: 4 Minutes For many retirees and soon-to-be retirees, the idea of retiring in Costa Rica, although appealing, can often get complicated because of the U.S. tax implications. So, before you say goodbye to your neighbors, take into account these vital U.S. tax considerations: 1. Pension Income How will your move abroad affect…
In December 2019, the Costa Rica Tax office published a resolution that starting 2021, existing inactive corporations must declare their assets. This must be done between January 1st and March 15th, 2021. New corporations will have to do this starting 2020 but let your attorney worry about that when he/she constitutes a new corporation for…
Do real estate agents have to charge sales tax on real estate rentals and sales in Costa Rica? Do tenants now have to pay sales tax on top of their rental? Many real estate agents and their clients are not very clear about the sales tax on real estate sales in Costa Rica, so let’s…
Is there a chance that vacation rental accommodations will have to start paying taxes soon? Many vacation rental owners are probably wondering what’s happening with that topic. Paying or not paying taxes makes a huge difference to your ROI if you have a vacation rental investment. It’s a fact that if you have income from…
Estimated Reading Time: 4 Minutes I get questions by email about the annual Costa Rica corporation tax that was approved in January 2012. In a past article, I explained what this annual Costa Rica corporation tax is all about and why it was created. This is important information for most of my readers since many of…
Estimated Reading Time: 4 Minutes There have been several changes in the temporary Costa Rican residency policy and law that affect the financial wellbeing of long-term visitors. This includes those visitors applying for one of the three immigrant resident categories. Just before our arrival, Immigration made changes in the temporary Costa Rican residency. We received…
Most U.S. citizens and green card holders rushed to file a US tax return by April 15. However, Americans living abroad on the regular due date of their tax return can take advantage of several extensions. We updated this blog on 3/27/2020 First and foremost, American expatriates get an automatic two-month extension until June 15…
Any idea of how to pay the corporation tax when out of the country? Do not lose any sleepless nights over the new Costa Rica corporation tax or “Impuesto a las Personas Jurídicas”. I updated this blog on 3/14/2019. Do you own a corporation or Sociedad Anonima or S.A. in Costa Rica? Then you are supposed…