Costa Rica: Draft bill on taxation of passive income
The draft bill would introduce—effective 1 January 2024—a 15% tax on passive income
The draft bill would introduce—effective 1 January 2024—a 15% tax on passive income
The Special Commission formed by the Legislative Assembly to address the exclusion of Costa Rica as a non-cooperating jurisdiction before the EU approved on 7 August 2023 a draft bill (No. 23.581) to reform the income taxation of passive income from foreign sources.
The draft bill would introduce—effective 1 January 2024—a 15% tax on passive income (expressly from dividends, interest, capital gains and royalties), subject to allowances for foreign credit taxes from assets located or rights economically used outside the national territory.
The bill must now follow the legislative procedure, which will entail at least two debates in the Legislative Assembly.
Read an August 2023 report (Spanish and English) [PDF 402 KB] prepared by the KPMG member firm in Costa Rica
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