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Costa Rica 13% VAT launch Jul 2019

  • Jun 27, 2019 | Richard Asquith

Costa Rica remains on track to introduce a 13% Value Added Tax on 1 July 2019. It will replace the existing Sales Tax, which is only due on the sale of goods.

VAT in Costa Rica will be extended to cover most services, unlike the existing Sales Tax which is limited to goods. Exports are exempted. There will have a standard VAT rate of 13%, with three reduced rates:

  • 4% Domestic and international airfares; health care
  • 2% private education; medicine
  • 1% basic domestic essentials

VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He can be contacted at: He is part of the European leadership team which won International Tax Review's 2020 Tax Technology Firm of the Year. Richard trained as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.