VATLive > Blog > Americas News > Costa Rica digital services VAT Jul 2019

Costa Rica digital services VAT Jul 2019

  • Mar 20, 2019 | Richard Asquith

Foreign providers of digital services to Costa Rican consumers are to be included in the new 13% VAT regime being implemented from 1 July 2019.

The new VAT, replacing the existing sales tax, would be due on regular electronic services (apps; streaming media; e-books and journals; online gaming; software etc) and telecommunications services. Foreign providers would have to register with the tax authorities to provide quarterly VAT filings, declaring sales and VAT due. There would be no scope for reclaiming input VAT suffered.

The provider must be able to establish the location of their customers to support the levying of VAT.

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.
VATlive newsletter

Sign up for our free newsletter stay up-to-date with the latest tax news.

VAT Voice Webinars

Stay ahead of the curve, sign-up to VAT Voice, our essential monthly round-up of VAT, GST and legislation news