The Government adopted new economic policy measures to encourage economic reactivation and employment, as well as to simplify the payment of tax obligations for taxpayers, in times of a pandemic caused by Covid-19.
Supreme Decree (DS) 4298, released by the Government this Monday, is a “new tax regime that responds to a current need and generates a new tax culture that will drive today’s entrepreneurs to be tomorrow’s great taxpayers” , stated the law firm “PPO Abogados”.
Incentive to national production
The DS states that the taxpayers of the Complementary Regime to the Value Added Tax (RC-VAT) “will charge the VAT rate contained in the invoices, fiscal notes or equivalent documents of purchases of products made in Bolivia, up to the December 31, 2020, with an additional proportion equivalent to 20% of the VAT contained in the purchase invoice ».
Until December 31, 2020, the VAT tax credit includes that originated in the purchases of food, acquisition of biosafety supplies and medicines, contracting of private health services and transportation within the national territory of its dependents.
