VAT Reforms for E-Commerce in Chile (Effective October 25, 2025)

Chile is implementing major changes to its VAT system to better regulate digital marketplaces and cross-border e-commerce:

Marketplace VAT Obligations

Platform operators (e.g., Mercado Libre, Amazon, Shein) will be responsible for collecting VAT if:
- They facilitate third-party transactions.
- The transaction is subject to VAT.
- Neither buyer nor seller is a registered VAT taxpayer in Chile.
If sellers fail to declare their VAT status, the platform becomes liable for VAT.
Platforms must report seller activity to the Chilean tax authority.

Low-Value Goods Rule

VAT now applies to remote sales of goods ≤ USD $500 destined for Chile.
The $500 threshold includes product price, shipping, insurance, and packaging.
The previous de minimis exemption of USD $41 is eliminated.
VAT must be collected at the time of online purchase, even before goods enter Chile.

Simplified VAT Regime for Foreign Sellers

Non-resident platforms and sellers must register electronically via Chile’s Digital VAT Portal.
Early registration began August 1, 2025.
A 19% VAT applies under this regime, replacing import VAT and customs duties for low-value goods.

E-Commerce Trends in Chile

Chile’s e-commerce sector is booming:

B2C online sales reached $11.5 billion USD in 2024, up fivefold from a decade ago.
Penetration rate expected to surpass 67% by 2029.
Top categories: clothing, groceries, tech, travel, and personal care.
Cyber events like CyberDay and CyberMonday drive massive spikes in digital sales.
Platforms like Falabella, Ripley, Paris, Linio, and Mercado Libre dominate the market.

Chile Introduces New VAT Compliance Rules for Nonresident Sellers and Digital Platforms

Chile introduced new VAT compliance rules for nonresident sellers and platforms.
Nonresident remote sellers and digital platform operators must register in the simplified VAT regime.
A 19 percent VAT rate applies to services offered by third parties on digital platforms, with some exceptions.
VAT declarations and payments must be submitted electronically via the SII’s online system.
Taxpayers in the simplified VAT regime cannot claim input VAT credits and do not need to issue tax documents.
The resolution takes effect on October 25.

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Chile Issues VAT Filing and Payment Rules for Non-Resident Remote Sellers and Digital Platform Operators

Regulation Overview: The Chilean tax authority (SII) issued Resolution No. 93 on July 30, 2025, to regulate VAT declaration and payment by foreign sellers and digital platforms under the simplified VAT regime for remote sales of low-value goods to non-VAT taxpayers in Chile (B2C sales).
VAT Rate and Compliance: Foreign taxpayers registered per Resolution No. 84 must declare and pay VAT at a rate of 19% on sales of low-value goods or when facilitating such sales. This is done using Digital VAT Form (F129) available on the SII’s VAT Digital Portal.
Implementation Timeline: The new requirements for declaring and paying VAT will take effect from October 25, 2025, with submissions due by the 20th of the month following the tax period in which the VAT was accrued, allowing payments in euros, Chilean pesos, or U.S. dollars.

Other sources

E-Commerce / Electronic services Reporting / Compliance