Costa Rican Tax Reform Bills Submitted to Legislative Assembly

On 12 August 2015, legislation to implement amendments to individual income tax, corporate income tax and value added tax was submitted to Costa Rica's Legislative Assembly. The tax reform includes several changes, summarized as follows:

Individual Income Tax

New individual income tax upper rates and brackets:

• up to CRC 793,000 - 0%
• over CRC 793,000 up to 1,190,000 - 10%
• over CRC 1,190,000 up to 2,225,000 - 15%
• over CRC 2,225,000 up to 4,450,000 - 20%
• over CRC 4,450,000 - 25%

For self-e…