Costa Rica's Congress has passed a new Corporate Tax Law, No. 9428, that applies to: all mercantile entities; branches of foreign companies or their representatives; and those individual limited liability companies that are registered or will be registered at the National Registry's Registry of Legal Entities.

Under this Law, those entities that are duly registered at the National Registry’s Registry of Legal Entities - even those that are not registered taxpayers at the General Tax Administration - must pay corporate taxes. The rate will be determined proportionally to the gross income the entity reported during the previous fiscal year.

To help you comply with the Law, Dentons Muñoz Costa Rica can provide the following services:

• Paying the applicable taxes.
• Tax planning, corporate re-structuring and/or transferring assets to either reduce or avoid future payments.
• Dissolving entities that are neither currently active nor operative.

If you wish further information on this new piece of legislation and our services, please contact our Corporate and Tax Law specialists either via email to daniel.araya@dentons.com or call +506 2503 9806.