ACZALAW Nicaragua

CONTACT US

TAX

Index

APPLICABLE TAXES, REGISTERED TAXPAYERS

In this section we mention the most commonly used taxes and rates for business activity.

INCOME TAX AND CAPITAL GAINS AND LOSSES
Economic activities
30% Annual
Capital gains and losses, residents and non-residents
15%
Capital Income, residents and non-residents
15% (*)
Work Income (RESIDENTS):
Up to 30%
a. Salary- based on progressive rate with exemption of 100,000 córdobas. the applicable aliquots range from 15%, 20%, 25% and 30%
Applicable aliquots: 15%, 20%, 25% and 30%
b. Allowances received at meetings of the board of directors or partners
25%

(*) Applicable exceptions: Capital Income: income generated by financing granted by international banks with investment grade and in accordance with the regulations of the superintendency of banks 10%. And for Capital Gains and Losses the variants in aliquots are: disposal of any type of asset or investment fund 7.5%; income derived from certificates of participation issued by an investment fund 7.5%; income generated by stock market transactions 0.25% and the transfer of real estate according to a progressive rate.

ADVANCE ON ACCOUNT OF INCOME TAX (IR) ON GROSS INCOME:
They must be declared and informed monthly, it has the nature of a final minimum payment. It is credited at the end of the fiscal period on account of the payment that corresponds to 30% of annual income tax.
The advance is declared, in full and paid according to the category of the taxpayer, with the following aliquots:
a. LARGE TAXPAYERS: Applicable to taxpayers whose billing income exceeds C $ 160 million córdobas per year.
3% monthly
b. MAIN TAXPAYERS: Includes those who generate a monthly billing of C$ 60 million per year
2% monthly
c. THE OTHER TAXPAYERS:
1% monthly
Withholding at Source: Whoever makes the payment to a supplier of goods or services is obliged to withhold 2% of the invoiced amount generated and report it to the General Directorate of Revenues (Dirección General de Ingresos DGI), who acquires the good or service. This retention goes to account of the annual IR of 30%
2% over the invoice amount generated
Operations with Tax Havens
30%
Sales Tax (IVA)
15%
MUNICIPAL TAX
Municipal Income Tax (IMI), is paid monthly to the mayor's office where the company develops its economic activity, where it has its establishment
1% on gross income
Municipal Registration - annual: single payment once a year, equal to 2% of the average gross income of the last three months of the fiscal period of the immediately preceding year.
2% of the average gross income of the last 3 months
INDIRECT AND IMPORT TAXES
Value Added Tax
15%
DAI (Import Tariff Duty)
From 2% to 5%
ISC (Selective Consumption Tax)- some products – aliquot varies
variable aliquot
IEECC (Specific consumption tax) - some products – aliquot varies
variable aliquot
MANDATORY DECLARATIONS TO THE TAX ADMINISTRATION
Before Tax Administration (DGI)
Date of Tax Return
Monthly
Monthly Tax Return (IVA and Advance IR Tax)
The first 5 calendar days are declared and the deadline for payment is the 15th of the month
Withholding at Source IR (Monthly)
The first 5 calendar days of the following month are declared and paid
Annual
Declaration and payment of Income Tax IR. (30% IR anual)
It is declared and paid on February 28th of each year. Date of the annual closing of the fiscal year.
Before the Municipality (Municipality of Managua)
Date of Tax Return
Monthly
Municipal Income Tax (IMI)
It is declared and paid the first 10 business days of the following month
Annual
Registration by Accounting Record (ANUAL)
January 30th of each year. Registration can be done during any date in January until the last day, January 30.
Before the INSS and INATEC
Date of Tax Return
Monthly
Before the Social Security (INSS): Income report for the month of workers
First 3 business days of the next month
Payment of INSS Invoice
This invoice is paid no later than 15 business days of each month. After the 17th of the month incurs surcharges
Payment of INATEC Invoice
This invoice is paid no later than 15 business days of each month together with the payment of the INSS invoice

You may be interested in...


You may be interested in...

TAX LAW, CORPORATE ADVICE AND RESOURCES:

Our Tax Advice is essentially preventive. In times of crisis, we know the importance for a company of timely compliance with obligations and the orderly handling of its documentation and supports of accounting records in accordance with the provisions of tax legislation, to act with the correct and complete supporting documentation before government audits and obligations to third parties.

Our services include:

  • Preventive corporate tax advice and includes, obtaining permits, registrations, registrations and payments of taxes according to the applicable legislation and regulations and the application of tax regulations in the day to day of the Company.
  • Advice, planning and optimization, for the access and use of tax benefits in specific economic sectors that enjoy special regimes such as: renewable energies, mines, free zones, tourism sector, incentives to the Exporter in the Agricultural industrial area, among others
  • Advice and Defense in Tax Processes, in the administrative channel
  • Advice and defense in tax litigation before the Supreme Court of Justice, Safeguard Resources and Administrative Litigation

The go-to law firm to do business in Nicaragua

Links of interest

Contact

  • From Plaza el Sol
    2 blocks south, 1 block east
    Colonial Los Robles, Managua

© ACZALAW - All Rights Reserved 2023 | Developed by HD Media

Open chat
Need assistance?
We are your strategic allies.