Venezuela legal and accounting and tax considerations in 2023

1. Venezuela corporate tax is at 34% and tax returns must filed every year with fines of up to 200% for late filing;
2. Investors in Venezuela pay capital gains tax at 34%;
3. Branch tax in Venezuela is charged annually at 34%;
4. In Venezuela, withholding tax on dividends is paid at the rate of 34% for all companies if dividends exceed net taxable income;
5. Non-residents royalties are taxed at 90% of gross income therefore withholding tax is 30.6%;
6. VAT in Venezuela is levied at a rate of up to 12% and filed every year;
7. Payroll tax is at 2%;
8. Employers must pay Social security contributions of up to 12% and are also required to withhold 2% of their employees’ gross salaries, to be remitted to the tax authorities;
9. Municipality tax is up to 10% of annual sales;
10. It is important our Clients’ are aware of their personal and corporate tax obligations in their country of residence and domicile; and they will fulfill those obligations annually. Let us know if you need Healy Consultants’ help to clarify your annual reporting obligations.