Paraguay extends VAT exemptions

Value Added Tax (Impuesto al valor agregado IVA) exemptions in Paraguay have been extend to a new range of products and services. VAT in Paraguay is charged at 10% standard rate, with a reduced rate of 5%.

New VAT exemptions on the following taxable supplies:

• Petrol and bio fuels
• Cultural and sport supplies from not-for-profit organizations, including political parties
• Electronic and printed books and newspapers
• Equipment and hardware for schools and universities
• Trading in shares and foreign currencies
• IT supplies for the benefit of children