The Costa Rican Value Added Tax known as the General Sales Tax is an imperfect value-added tax levied on the sale of all merchandise within the country and/or the import of merchandise into the country. Only those goods specifically listed in the Regulations as exempt are exempted from VAT. Unlike goods, services are not subject to VAT except when expressly taxed by law.
 The VAT Law includes a list of services that are subject to the General Sales Tax. Taxable services include among others: services provided by restaurants; bars; night, social, or recreational centers; hotels, motels, pensions, and similar establishments; customs services; rendered by real property brokers.
A correct treatment of VAT credits and debits may allow VAT taxpayers to avoid additional costs to their business. |
Business and Economy 
