- Services provided remotely from Colombia to Chile are considered royalties under the DTA for technical assistance, technical services, and consultancy.
- Both Chile and Colombia have taxation rights over payments for these services.
- Chile can tax these payments at a maximum rate of 10%.
- The services are exempt from VAT in Chile because they are subject to additional income tax.
Source: news.bloombergtax.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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