On 28 October 2017, the Ministry of Finance (Hacienda) announced that on 27 October 2017, the Transitory Law to Facilitate the Voluntary Compliance of Tax and Customs Obligations (“Fiscal Amnesty”), came into force. The announcement states:
During a period of 90 days, taxpayers who have outstanding tax debt administered by the General Directorate of Internal Taxes and the General Directorate of Customs, have the opportunity to voluntarily regularize their situation without incurring the payment of interest, surcharges or fines.
Taxpayers who can benefit under this Law, in the case of Internal Taxes, are:
- Those who have not submitted their declarations and have not paid the tax.
- Those who have not submitted one or more tax returns and have not paid the tax, despite having made transactions subject to payment.
- Those who have not submitted amending statements having tax payable, and that this is less than what is legally required to be paid.
- Those who have filed tax returns that reflect balances in their favor, in an amount that higher than the one they are legally entitled to, among others.
In the case of the General Directorate of Customs:
- Those who have submitted goods declarations with omissions or inaccuracies in their report and have not paid the import duties.
- Those who have presented the goods declaration and have not paid the customs duties, among others.
In addition, taxpayers may enjoy this benefit if their cases are in the Process of Inspection, in the Hearing and Opening of Evidence stage, in the Valuation Process, in the Term for the Submission of Appeal or Demand before the Court of Appeals of the Internal Taxes and Customs (TAIIA) or Chambers of the Supreme Court of Justice (CSJ), with appeal or suit already filed before the TAIIA or Chambers of the CSJ; in process of collection in the General Directorate of Treasury or in judicial process of executive collection by the General Prosecutor’s Office of the Republic (FGR).
The Transitory Law also contemplates cases in which this benefit does not apply as: taxpayers who have debts corresponding to obligations of periods or exercises subsequent to the validity of the law; cases in which the FGR has initiated criminal proceedings for customs criminal offenses or crimes against the Public Treasury and those modifications in which the surplus or surplus declared increases.
The Ministry of Finance emphasizes that the beneficiary taxpayer is not exempt from Tax Administration audits to verify the modifications made to normalize its fiscal situation