As of September 2017 there is a new, one-time only, requirement for ALL Costa Rican corporations, including inactive ones, to file a D-140 tax registration this year. Failing to file the D-140 results in a fine of approximately USD$80 to USD$400 for each month of delay with filing, to a maximum of … [Read more...]

As per regulation of Law No. 9428 as of September 1 2017,  government will begin to collect the tax on corporations, and for 2017 the amount of payment will be partial and prorate for the current tax for this year. This tax will be levied for all types of commercial companies, such as … [Read more...]

1. Can a foreigner purchase Costa Rica real estate? Any foreigner, resident or non-resident has the same rights as a citizen, except for voting rights at presidential and municipal elections and can therefore purchase and own Costa Rica real estate legally. There are only two exceptions: -A … [Read more...]

Closing costs – registration fees, notary and attorney fees, documentary stamps and transfer taxes – will amount to no more than 6% of your total purchase price. The payment of closing costs is negotiable between the buyer and seller, though the buyer normally assumes these costs. 1.25% for the … [Read more...]

If you own property in Costa Rica, you have to pay annual property tax, payable quarterly. Most municipalities will give you a discount if you pay the whole year in advance. The tax is 0.25 percent of the registered value of your property in the municipality (not in the National Registry), as … [Read more...]

In Costa Rica evicting a tenant from a rental property could at times be a daunting task. The tenant would play the legal system and invoke ridiculous arguments just to extend the process and remain in the rental property, rent free, for years. In Costa Rica there are more than 3,000 eviction … [Read more...]

The court has declared today that the corporations tax will no longer be applicable as they believe it is unconstitutional, but the decision will be in place for fiscal year 2016.   For those who haven't paid yet, you need to determine whether to proceed or not with this payment.  In my … [Read more...]

1. Concept: (Coderechos o Co Propiedad): co ownership or joint ownership is based on art. 270 of the CR Civil Code of 1.886, which reads: "When a thing (object of ownership) belongs simultaneously to one or more persons; its owners exercise jointly all the rights of the singular proprietor, … [Read more...]

Costa Rican Vehicle Owners Need to Register with Cosevi by End of April By April 26th of this year, all vehicle owners in Costa Rica must register their email by filling out and sending a special form to COSEVI, the Consejo de Seguridad Vial. This requirement is part of the new Transit Law 9078 that … [Read more...]

FROM THE DESK OF LIC. JOSE JUAN SANCHEZ CHAVARRIA “2013 NEWS LETTER”: a business intelligence report:   1. Statutory acts: 2012 was a year with some statutory legislation passed by the CR Parliament, relevant to the private international and investment sectors: 1.1 OECD: In accordance with the … [Read more...]

January 28th, The deadline for payment of annual corporate taxes is Thursday, and as of Friday, only 11% of registered corporations had paid the obligation.So far, less than 59,000 corporations have paid, out of the 550,000 registered in the country.The tax is 189,700 colons per year for active … [Read more...]

Government Transfer Tax and Registration Fees. Real Estate Transfer Tax. - The government collects a property transfer tax (Impuesto de Traspaso ) which is equal to 1.5% of the registered value of the property. Documentary Stamps - The government also requires that documentary stamps be attached … [Read more...]