Costa Rica Publishes Final Decree on Goods Subject to 1% Reduced VAT Rate

On 18 March 2019, Costa Rica published Executive Decree No. 41615-MEIC-H in the Official Gazette. The Decree provides the list of basic goods subject to the 1% reduced VAT rate under Costa Rica's new VAT system, which will be implemented from 1 July 2019. The final Decree is generally in line with the draft previously reported on and includes several different types of goods grouped under various categories, including:

• Bread and tortillas;
• Rice, cereals, flours, and pasta;
• Cow's milk and ch…