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Peru extends VAT withdrawal regime on certain construction activities

  • VAT
  • 20 June 2014 | Richard Asquith

Peru extends VAT withdrawal regime on certain construction activities

The Peruvian tax office has confirmed that the VAT Impuesto General a las Ventas (IGV) Withdrawal regime will apply to the following construction activities:

  • Install of electricity lines
  • Urban constructions work
  • Public building work

The Peruvian VAT Withdrawal system is used to control VAT fraud and defaults. It enable the government to take collected VAT from a tax payer’s bank account to offset against other existing tax debts.


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 is part of the European leadership team which this year won International Tax Review's Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.