Declaration of inactive companies in Costa Rica

All companies registered in Costa Rica that do not carry out activities must file a declaration of assets from March 15. Thus, if you or your company are in one of the following situations, you must prepare the legal, tax and accounting information necessary for the company’s filing:

  • A natural or legal person not domiciled in Costa Rica who is a shareholder of an inactive Costa Rican company with assets or rights in the country or abroad.
  • Natural or legal person domiciled in Costa Rica who is a shareholder of an inactive Costa Rican company with assets or rights in the country or abroad.

Why does this return need to be filed? Since the amendments to the income tax law in force since 2019, all companies registered in the country are subject to this tax even if they do not carry on any activity or are holding companies. For this reason, the obligation to file a declaration on their assets was established.

What should be filed? All companies legally incorporated in the country that do not engage in gainful activity must file two declarations before March 15: one relating to the net worth as of December 31, 2020 and the other as of December 31, 2021.

What information should be included in the declaration? The statement should include balance sheet information (assets, liabilities and equity) of the entity. It is therefore essential to have information relating to the acquisition values ​​of the assets and rights held by the entity, as well as an indication of whether the funds used correspond to the contribution of the partners (equity) or to the debt (liabilities). ).

What legal information is required? In the case of representatives not domiciled in the country, a special tax identification number (NITE) must be obtained from the legal representative of the company. In the case of representatives domiciled in the country, a Costa Rican identity card or DIMEX is required. On the other hand, one or more minutes must be established in the legal books of the entity, in order to justify the contributions made.

The multidisciplinary team of Consortium Legal can assist you in fulfilling this formal obligation, by collaborating in the orientation and preparation of all the accounting, tax and legal information required, as well as in the filing of the declaration.

About Charles D. Goolsby

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