The President of the Republic issued the Executive Decree 586 on
October 31, 2022 which several regulations to Commercial,
Investment and Tax Policy. The following is a summary of the main
tax reforms:
I.Amendments to the Regulations for the Application of
the Internal Tax Regime Law:
1.Professional Services. The term
“professional services” is defined as those rendered by
professionals accredited with an academic degree, either as an
individual or through a legal entity.
2.Ghost Entities. If the Internal Revenue
Service notifies a taxpayer that it has incurred in the
circumstances to be qualified as a non-existent entity, ghost
entity, or taxpayer with non-existent transactions, the taxpayer
will have 30 business days to refute such assertion. Previously the
term was 5 business days.
