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Costa Rica VAT cut to 9% proposal

  • Jun 7, 2020 | Richard Asquith

Costa Rica is to considering cutting Value Added Tax on the current standard rate of 13% to 9%. The reduction to help businesses cope with the COVID-19 epidemic would be in place for one year.

Costa Rica introduced VAT in 2019, replacing Sales Tax which was only levied on goods.

Follow Avalara’s live  global coronavirus Covid-19 VAT measures tracker. Countries such as Germany and Mexico are also processing VAT cuts as countries move out of the Emergency and Containment phases of the coronavirus crisis into Recovery. This means providing economic stimulants for consumers as lockdown ends.

Explore more content like this in our Building for COVID-19 recovery hub

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VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is the former VP Global Indirect Tax at Avalara
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