Home Luxury Tax for 2022 (Part I)
The entity or person obliged to file and pay the tax is that one that owns the ¨Luxury Home¨ as of January 1st of each year. This includes parties in a co-ownership as well.
Real Estate
ESTATE PLANNING IN COSTA RICA
'Da tua dum tua sunt, post mortem tunc tua non sunt'.
(Give that which is yours while it is yours; after death, it is not yours).
SOME FACTS ABOUT CR ESTATE PLANNING
‘Da tua dum tua sunt, post mortem tunc tua non sunt’. (Give that which is yours while it is yours; after death, it is not yours). Executing a testamentary disposition or a will, in Costa Rica called ‘testamento’, can be…
CAPITAL GAINS IN REAL ESTATE
The Law #9635 creates a Capital Gains Tax of 15% which will apply to all investment income and real estate.
For real estate transactions the law provides a one-time exemption for property owners that owned property before the law came into effect on July 1st 2019.
NEW CAPITAL GAINS TAX IN COSTA RICA
With the approval of the Law #9635, among the taxes and changes that brought, it was created a Capital Tax Gains of 15% which applies to investment income and real estate.
NEW REGULATORY CHANGES FOR SUGEF REGISTRATION
On October 8, 2018, CONASSIF (National Council for Financial System Supervision) approved a new regulation, SUGEF Agreement 11-18, related to the registration
REAL ESTATE RENTALS WILL SOON BE SUBJECT TO THE SAME LEGAL REQUIREMENT FOR ELECTRONIC INVOICING (FACTURA ELECTRONICA) AS ALL OTHER TAXPAYERS IN COSTA RICA.
The transition to a mandatory electronic invoicing system for taxpayers got underway earlier this year, as an outcome of 2016 legislation 'to improve the fight against tax fraud' in Costa Rica. Under a 2018 schedule of phased-in compliance deadlines, Resolution No. DGT-R-51-2016
HOME OWNER’S ASSOCIATION MEETINGS
Each condominium complex has a set of bylaws or Covenants, Conditions, and Restrictions (CC&Rs) that outline all the rules, regulations, dues, rights and obligations of the condo owners.
RELEVANT INFORMATION ABOUT REAL ESTATE IN COSTA RICA
Unlike some other countries, it is not required to have CR citizenship, CR residence, nor even have permanent presence in the country to own land in Costa Rica.
REAL ESTATE RENTALS
Real estate rentals will soon be subject to the same legal requirement for electronic invoicing (factura electronica) as all other taxpayers in Costa Rica.