Resident companies are liable for corporate income tax (impuesto sobre la renta) on profits arising in Venezuela. The territoriality principle embodied in income tax law ensures that, in general, only income arising or deemed to arise in Venezuela is taxed. The concept of residence is thus of only limited importance, but insofar as it is relevant, a company is considered resident in Venezuela if it is incorporated under Venezuelan commercial law. Income is deemed to arise in the country if the relevant transaction takes place there, the services in question are performed there, or the property giving rise to it is located there, whether or not the recipient of the income maintains an establishment in Venezuela.
We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.
