ISR and VAT rates for non-incentivized companies
- The legal framework for foreign investment
- The tax burden without incentives
- Audited
Corporate income tax (ISR) is governed by the Tax Update Law (Decree 10-2012, Book I), which distinguishes income from business activities, from employment and from capital, and offers two regimes: the Regime on Profits from Business Activities, at 25% of profits, and the Optional Simplified Regime on Gross Income, at 5% up to Q30,000 a month and 7% on the excess. VAT (IVA) has a general rate of 12% (Decree 27-92). The three rates were confirmed against PwC Worldwide Tax Summaries in the audit of 2026-08-19; articles 36 and 44 of Decree 10-2012 and the number of the VAT decree remain to be checked against the official text.
The research is written in English; quoted figures, source names and the titles of legal instruments stay in the language their source published them in.
Figures
- Income tax, profits regime
- 25%
- Income tax, optional simplified regime — lower band
- 5% up to Q30,000 monthly
- Income tax, optional simplified regime — excess
- 7% on the excess over Q30,000/month
- VAT, general rate
- 12%
Caveat
Sources
Related records
This layer is research: read from public sources by the archive's own team, every claim cited with the date it was consulted, and audited where it is marked so. It has not entered the verified store — no figure here was fetched back from its source or stamped with a retrieval time — so it wears no red provenance numeral and never mixes with the verified figures.