Global

Details

  • Service: Tax, International Corporate Tax, Global Indirect Tax, Global Compliance Management Services
  • Type: Regulatory update
  • Date: 7/16/2012

Peru - VAT and tax incentive changes 

July 16:   Recent legislative decrees amend Peru’s value added tax (VAT) and consumption tax legislation and the rules for tax incentives / benefits.

VAT and consumption tax changes

Legislative decree No. 1116—published in the official gazette (Diario Oficial) on 7 July 2012—includes changes to VAT and consumption tax:


  • Partial payments for the future delivery of goods will be subject to VAT; for example, payments on buildings to be delivered in the future are subject to VAT.
  • Services provided abroad are no longer subject to the services export regime.
  • When there is a cancellation of a sale, the VAT liability depends on the amount returned or refunded.
  • There are new measures concerning the interplay between the transfer pricing valuation rules and VAT.
  • The tax administration is authorized to estimate the value of certain transactions.
  • Concerning excise taxes, the amount of the tax may be determined using an average tax base or, alternatively, the fixed amount of tax, whichever is greater.

The laws affected by this legislative decree are known in Spanish: (1) Ley del Impuesto General a las Ventas e Impuesto Selectivo al Consumo; (2) Ley que establece el Régimen de Percepciones del Impuesto General a las Ventas.


The provisions are generally effective 1 August 2012.


Read a July 2012 report (Spanish) [PDF 39 KB] prepared by the KPMG member firm in Peru.


Changes to tax incentives

Legislative decrees No. 1113 (5 July 2012) and No. 1117 (7 July 2012) provide changes to the tax code (Código Tributario) concerning incentives / tax benefits, tax domicile, tax declarations, and penalty procedures, among others.


Concerning tax incentives / benefits, the new provisions allow for a three-year period subject to renewal. If the three-year period for a tax incentive / benefit expired prior to 31 December 2012, the incentive / benefit is extended to the end of 2012.


The effective dates are 7 July or 8 July 2012.


Read a July 2012 report (Spanish) [PDF 39 KB]




©2012 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved.


The KPMG logo and name are trademarks of KPMG International.


KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever.


The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.


Direct comments, including requests for subscriptions, to go-fmtaxnewsflash@kpmg.com.
For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at:

+ 1 202 533 4366

1801 K Street NW
Washington, DC 20006.

 

Share this

Share this

Subscribe

Subscribe to receive the latest TaxNewsFlash email alerts (you must select the option for TaxNewsFlash)


Already a Subscriber? Login


Not a member? Subscribe now

Contact us