Correction of output value added tax (VAT) liability for uncollected receivables
- Taxpayers can reduce their output VAT based on performed supplies in cases of inability of partial or full collection of receivables, when more than one year has passed since the receivable due date (subject to certain conditions, such as suing the debtors or initiating enforcement procedures, informing the tax authority of the performed corrections, etc.).
Source: KPMG
Latest Posts in "Costa Rica"
- Costa Rica Updates VAT Contingency Measures to Prevent Accounting Distortions in 2025
- Costa Rica Proposes Gradual VAT Reduction and Cadastre Reform to Modernize Tax System
- Costa Rica Allows VAT Adjustment for Taxpayers With No Sales but Purchases in September 2025
- Costa Rica Updates VAT Rules to Exempt Electricity Purchases
- Costa Rica Raises Interest Rate on Late Tax Payments to 8.52% Effective January 2026
