- Temporary VAT Reduction: The Government of Ecuador has ordered a temporary reduction of the Value Added Tax (VAT) from 15% to 8% for tourist services during the 2026 Carnival holiday, as established by Executive Decree No. 304.
- Coverage of Tourist Services: The reduced VAT rate applies to various tourist activities, including accommodation, food and beverages, tourist operations, and transport services, all under the oversight of the Internal Revenue Service and the Ministry of Tourism.
- Validity and Implementation: This VAT reduction is valid only during the specified dates of the 2026 Carnival holiday and will revert to the general VAT rate after the holiday ends. The measure is applicable nationwide for establishments that meet the necessary legal and tax requirements.
Source Lexis
Latest Posts in "Ecuador"
- Ecuador Imposes 30% Customs Control Fee on Goods Entering from Colombia
- 15% VAT Rate to Remain in Effect for 2026 and Beyond Unless Changed by Decree
- Ecuador Confirms 15% Standard VAT Rate Will Remain for 2026
- Ecuador’s VAT Rate Remains at 15%, Confirms SRI Circular
- US Trade Policy Updates: Tariff Changes and Market Access Agreements
