- New VAT compliance obligations for digital platforms and payment providers in Chile start on 1 October 2025 and 1 January 2026.
- Circular No. 38, issued on 30 April 2025, updates tax compliance requirements based on a 2024 law.
- Public and private third parties must verify taxpayer registration and compliance before transactions.
- From 1 October 2025, entities like public institutions, banks, and digital platforms must confirm customer registration with tax authorities.
- These entities must report annually on users not required to register and those operating without registration.
- Platforms must provide user lists, transaction details, and information on unregistered users to tax authorities.
- Starting 1 January 2026, entities must request proof of compliance every six months using electronic certificates.
- Penalties apply for noncompliance.
- Tax authorities may require withholding of advance VAT from noncompliant sellers.
- The approach aims to enhance oversight and traceability, imposing new obligations on non-governmental actors.
Source: bdo.global
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
