(593 2) 3999 333 ext 1254
LANGUAGE:
COAST - SALINAS BEACH
SUBSTANTIAL IMPROVEMENTS IN
CLEAR RULES FOR INVESTMENT
ECONOMIC STABILITY
INFRASTRUCTURE
MARITIME
HEALTH
EDUCATION

STABILITY AND INCENTIVES

TAX STABILITY FOR UP TO 30 YEARS

Within the Organic Code of Production, Trade, and Investments, an investment contract is established as a legal instrument that recognizes the rights of both domestic and foreign investors and bestows tax stability. It also allows for the exemption from certain import tariffs.

KEY INCENTIVES

  • Income Tax reduction from 25% to 22% has been in place since, the year 2013.
  • Payment Exemption of Foreign Exchange Outflows Tax (ISD).
  • Companies that reinvest their profits in the country may obtain a reduction of 10 percentage points in the rate of income tax applied.

INCENTIVES APPLICABLE TO KEY SECTORS SUCH AS TOURISM

Incorporated companies established (outside Quito and Guayaquil) are exempt from paying income tax for 5 years, counted from the first income generating cycle..
Deduction of an additional 100% to the annual depreciation cost of new fixed and productive assets for 5 years.

ENVIRONMENTAL INCENTIVES

An additional 100% depreciation, is deductible from the depreciation and amortization corresponding to the acquisition of machinery, equipment, and technologies destined to the implementation of cleaner production mechanisms, to the generation of renewable energy sources (solar, eolian, and the like) or to the reduction of environmental impact caused by productive activities, and to the reduction of the greenhouse effect.

INCENTIVES FOR TERRITORIAL DEVELOPMENT ZONES

There are 80 + zones, where investment in tourism projects may benefit from an additional deduction of 10% over 5 years from the income tax calculation.

 

TAXES

Ecuador is one of the countries with the lowest tax rates in the region, with a total tax rate of 33% , according to a study compiled by PWC, Paying Taxes 2015.

  • OTHER TAXES
  • BUSINESS TAXES
  • INCOME TAX

DO YOU HAVE ANY QUESTIONS? OUR PROFFESIONAL QUALIFIED TEAM CAN HELP YOU!

CONTACT US
Invest Ecuador Tourism Contact Us
Our qualified team is happy to help.