- Ruling No. 1617-2025 allows Chilean digital content creators to claim a tax credit for US taxes paid if the US has taxing rights over the income.
- The ruling is based on the Chile-US Income and Capital Tax Treaty and Chile’s Income Tax Law.
- Taxpayers must report foreign taxes in their annual income tax return and provide proof of income.
- Acceptable proof includes a payment receipt, tax return, or official certificate from the US tax authority.
- If official documents are unavailable, other legal evidence can be used.
- Earlier, Letter Ruling No. 369 clarified that US state taxes on technical assistance services are not covered by the treaty.
- Article 41A of Chile’s Income Tax Law allows for a foreign tax credit for qualifying foreign income, even without a double taxation agreement.
Source: regfollower.com
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.
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