Taxation in Peru

Taxation
An aspect of fiscal policy
Policies Government revenue Tax revenue Non-tax revenue Tax law Tax bracket Tax threshold Exemption Credit Deduction Tax shift Tax cut Tax holiday Tax advantage Tax incentive Tax reform Tax harmonization Tax competition Double taxation Representation Unions Medical savings account Tax, tariff and trade
Economics Price effect Excess burden Tax incidence Laffer curve Optimal tax Theory Optimal capital income taxation
Collection Revenue service Revenue stamp Tax assessment Taxable income Tax lien Tax refund Tax shield Tax residence Tax preparation Tax investigation Tax shelter Private tax collection Tax farming
Noncompliance Tax avoidance Tax evasion Tax resistance Tax haven Smuggling Black market Transfer mispricing Unreported employment Tax shelter
Distribution Tax rate Progressive Regressive Proportional
Types Direct Indirect Per unit Ad valorem In rem Capital gains Carbon Consumption Dividend Ecotax Excise Fuel Georgist Gift Gross receipts Income Inheritance (estate) Land value Payroll Pigovian Property Sales Sin Single Stamp Steering Turnover Value-added (VAT) Corporate profit Excess profits Windfall profits Negative (income) Flat Wealth
International Financial transaction tax Currency transaction tax Tobin tax Spahn tax Tax equalization Tax treaty Permanent establishment Transfer pricing European Union FTT
Trade Custom Duty Tariff Import Export Tariff war Free trade Free trade zone Trade agreement
Religious Church tax Eight per thousand Teind Tithe Fiscus Judaicus Leibzoll Temple tax Tolerance tax Jizya Kharaj Khums Nisab Zakat
By country List of countries by tax rates Tax revenues as %GDP Albania Algeria Argentina Australia Azerbaijan Bangladesh Bhutan Bulgaria Canada China Colombia France Germany Greece Iceland India Indonesia Iran Ireland Israel Italy Japan Kazakhstan Lithuania Malta Namibia Netherlands New Zealand Norway Pakistan Palestinian territories Peru Philippines Poland Russia Singapore South Africa Sweden Switzerland Tanzania United Kingdom United States Uruguay

The income tax in Peru is collected by the Superintendencia Nacional de Administración Tributaria, best known as SUNAT. This country uses a system of progressive taxation on personal income, and a flat rate tax on business income.

Peru's government agency involved in taxation issues mainly about Income tax, Added Value Tax and collecting Social Security funds. Standard VAT rate in Peru is 18%.

The following transactions are subject to VAT at an 18% rate:

- Sales of moveable goods made within Peru. - Services rendered within Peru. - Services rendered abroad but economically used within Peru by a domiciled user. - Importation of goods. - Construction agreements.

The first sale of real estate made by construction firms. In all transactions the vendor is subject to VAT, except for the case of importation of goods and services rendered abroad but economically used within Peru, for which VAT is self-assessed by the importers and users, respectively.

The VAT Law follows a debit / credit system, and input VAT may be offset by output VAT. Should excess input VAT be obtained in a particular month, it shall be offset by output VAT obtained during the following months until it is exhausted. Cash refunds of excess input VAT may only be made if it is not possible to offset the excess input VAT related to the exportation of goods and services, as explained below, but not to domestic transactions.

Taxable transactions – VAT is levied on the sale of goods, the provision and use of services, the first sale of real estate by a contractor and imports.

Registration – Taxpayers are required to keep accounting books (such as purchase and sales ledger).

Filing and VAT payment – VAT returns must be filed on a monthly basis.

External links

• Superintendencia Nacional de Administración Tributaria (SUNAT)