Guatemala

Guatemala

The basis of company car taxation in Guatemala is reflected in this overview. Different types of taxes are considered here: taxes related to the registration of the vehicle, income taxes and VAT aspects. Expected future developments are also briefly listed, if any.

La base de los impuestos a los automóviles de las empresas en Guatemala se refleja en este resumen. Aquí se consideran diferentes tipos de impuestos: impuestos relacionados con el registro del vehículo, impuestos sobre la renta y aspectos del IVA. Los desarrollos futuros esperados también se enumeran brevemente, si corresponde.

1. Car taxation

1.1. Registration tax

Taxable event

Taxable person

Tax due

Taxable period

Vehicle registration tax rates depend on the type of vehicle, attached file ANNEX I that contains the different tax rates for each type of vehicle.

Determination of the tax base:

The tax base for the Specific Tax on the First Registration of Land Motor Vehicles for use is the value recorded in the original invoice issued by the seller of the vehicle abroad, which complies with the requirements established by law. the country of issue and that the authenticity of said invoice can be verified by the Tax Administration, in addition to presenting the title of ownership of the vehicle issued by the competent authority of the country from which it is exported and documenting the payment of the invoiced value, by the means made available by the national and international banking system.

In the case of not complying with what is required in the previous paragraph, the taxable base will be the value of the vehicle that appears in the table of taxable values ​​that the Superintendence of Tax Administration must prepare annually (ANNEX II attached), which must be approved by the Board of Directors, Superintendence and published in the official newspaper and on the website of the Tax Administration, in the month of November of each year.

For new land vehicles, assembled or manufactured abroad, the tax base is the import value defined as the addition of insurance and freight to the value of the vehicle, reported by manufacturers or importers.

In the case of new land vehicles, assembled or manufactured in Guatemala, the tax base is the value of the vehicle consigned in the invoice issued by the assembler or the manufacturer.

The model year of the land vehicles, will be determined by verification of the Vehicle Identification Number (VIN), which must physically consist of vehicles entering the national territory and exactly match the import documents

1.2. Annual circulation tax

Taxable event

Taxable person

Tax due

Taxable period

The annual vehicle circulation tax depends on the type of vehicle and its characteristics, for reference the attached file ANNEX II contains the detail of the types of vehicles, their characteristics and the tax that corresponds to them.

2. Income taxes

The Law establishes two forms of payment of Income Tax, taxpayers can register with the Tax Administration in one of the following two methods:

1. Regime on Profits of Lucrative Activities of 25%

2. Regime on Income from Lucrative Activities of 5% to 7%, depends on the amount of gross income that you obtain monthly.

3. VAT

3.1. Hire purchase

ü 12% on the purchase price.

3.2. Leasing

ü 12% on the value of the lease.

4. Company car

4.1. VAT due on private use of company cars

ü 12%

5. Income taxes – drivers’ personal taxation

If a person is engaged in the business of buying and selling vehicles or providing taxi services, the income tax that must be paid depends on the tax regime in which it is recorded:

1. Regime on Profits of Lucrative Activities of 25%

2. Regime on Income from Lucrative Activities of 5% to 7%, depends on the amount of gross income that you obtain monthly.

The personal use of vehicles does not have tax benefits, only fiscal obligations.

6. Electric vehicles

For the importation of electric vehicles: 12% Value Added Tax and 5% First Registration Tax.