Global

Details

  • Service: Tax, International Corporate Tax, Global Transfer Pricing Services, Global Compliance Management Services
  • Type: Regulatory update
  • Date: 7/26/2012

Peru - Changes for source of income, R&D, reorganizations, CFCs 

July 26: New legislative decrees (Decreto Legislativos) affect the taxation of companies doing business in Peru.

Legislative decrees no. 1120 and 1124—published in the official gazette (Boletín Oficial) 18 and 23 July 2012—introduce changes to the income tax law, including:


  • What is Peruvian source income
  • Repeal of exemptions for certain capital gains
  • Changes to the taxation of investment funds and pension funds
  • A provision that expenses for research and development (R&D) are not to exceed 10% of the net income (ingresos netos) up to an established threshold
  • The treatment of gain and loss in corporate reorganizations
  • Modifications to the recently amended transfer pricing rules (TaxNewsFlash-Transfer Pricing: Peru - Modifications to transfer pricing regulations)
  • Measures concerning passive income / foreign source income under the controlled foreign corporation (CFC) rules

In general the provisions have an effective date of 1 January 2013. There are certain specific effective dates.


Read a July 2012 report (Spanish) [PDF 54 KB] prepared by the KPMG member firm in Peru: Modifican la Ley del Impuesto a la Renta mediante Decretos Legislativos Nos. 1120 y 1124




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