Porzio Ríos García’s Tax Area details tax measures announced by the Government to face the coronavirus crisis

Last Thursday, the Government reported a set of tax measures to be performed as soon as possible, and looking up to lessen, in part, the economic crisis caused by the coronavirus.

The measures reported are as follows:

— Suspension of monthly provisional payments (PPM) of corporate income tax for the next 3 months.

— Postponement of VAT payment for the next 3 months for all companies with sales of less than UF 350,000, during 2019, making possible to pay in 6 or 12 monthly installments at zero real interest rate, depending on their size.

— Anticipation of the return of the income tax that corresponds to SMEs for the month of April this year.

— Postponement, until July 2020, of the payment of income tax for SMEs, according to what is declared in the income operation of next April.

— Postponement of April tax payments for companies with sales of less than 350,000 UF and for people with properties with a tax assessment of less than $ 133 millions. The deferred tax will be paid in three installments, along with the following three contribution installments, with a real interest rate of 0%.

— Transitory exemption, from April, of the stamp taxes at 0% for all credit operations, for the next 6 months.

— Relief measures for the treatment of tax debts with the General Treasury of the Republic (TGR), focused on SMEs and people with lower incomes by entering into tax debt payment agreements with TGR, without interest or fines, since April.

— AAcceptance of all disbursements from companies facing the health contingency as a tax expense.

— Flexibilities in the terms to present Affidavits associated with the Income Operation this year.

The authorities shall promptly issue the above regulations, so soon we will know the details and scope of each of the measures indicated.

© Porzio · Rios · Garcia - 2020