Costa Rican Taxes for Inactive Companies: An Expat's Guide

As an expat with an inactive company in Costa Rica, you'll need to navigate some specific tax requirements. Here's a comprehensive guide to help you out:

Understanding "Inactive"

Costa Rica defines an inactive company as one that isn't generating income or carrying out commercial activities. However, it's still legally registered and has filing obligations.

Tax Obligations for Inactive Companies

There are two main taxes for inactive companies:

·         Informative Declaration of Inactive Companies (Form D-195): This annual filing details your company's status, including:

o    Reason for inactivity

o    Ownership of trademarks, patents, or registrable assets

o    Ownership of non-registrable assets

Deadline: April 30th of each year

·         Education and Culture Stamp: This is a minor annual tax included with the legal fees during company incorporation. It needs to be renewed between February and March.  Can be paid in any Costa Rican bank.

Important Notes:

·         The Costa Rican tax authority can still audit inactive companies within a 4-year window.

Additional Considerations

·         Filing: You can file the D-195 form electronically through the Costa Rican Tax Authority's digital platform.

·         Penalties: Missing deadlines or failing to file the D-195 can result in fines.

·         Professional Help: Considering the complexities, consulting a Costa Rican tax advisor is highly recommended. We can ensure compliance and address any specific situations regarding your company.

Resources:

·         Costa Rican Tax Authority: https://www.hacienda.go.cr/ (Spanish)

Remember: This information is for general guidance only and shouldn't be considered tax advice. Always consult us, your qualified professional for personalized advice on your company's tax situation!