Costa Rica: Tax incentives for film production activities, for hiring older workers

Tax-relief measures for film production activities and for hiring older workers in Costa Rica

Tax-relief measures for film production activities and for hiring older workers

Tax-relief measures in legislation are intended to promote the investment and development of international film productions, co-productions, and activities in Costa Rica.

For instance, the measures provide for an exemption from income tax and an exemption from import taxes or fees on items required to carry out the project. Another measure provides for a refund of 90% of the amount of value added tax (VAT) with regard to purchases of domestic purchases.

Regarding a tax incentive to promote the hiring of individuals over 45 years of age, the measure provides that it will be a deductible expense when at least 20% of the payroll is for workers who are over 45 years of age.

Read a November 2021 report prepared by the KPMG member firm in Costa Rica

The report also addresses the process for free trade zone companies involved in logistic services, legislation authorizing electric power distribution companies to buy surplus from generators that can prove a specific benefit for their users, and other developments.


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