ENJOYMENT OF THE BENEFIT OF EXEMPTION FROM PAYMENT OF TAX ON LARGE FINANCIAL TRANSACTIONS

Administrative Ruling No. SNAT/2020/00029, dated July 10, 2020, issued by the Superintendent of the National Integrated Service of Customs and Tax Administration (Servicio Nacional Integrado de Administración Aduanera y Tributaria – “SENIAT”) was published in Official Gazette No. 41.914 of July 3, 2020, (the “Ruling”). The Ruling established that the provisions established in the same must be complied with for purposes of enjoying the benefit of exemption from payment of Tax on Large Financial Transactions (“TLFT”) prescribed in article 4 of Decree No. 4.220, published in Official Gazette No. 41.890 of May 29, 2020 and published again due to faults in the original in Official Gazette No. 41.896 of June 08, 2020, for the sales
operations in the national territory of fuel derived from hydrocarbons and consumable supplies and additives intended for the upgrading the quality of gasoline, made directly by the State or by State-owned companies or by mixed companies with State and private capital participation in any proportion and by private companies.

The aforesaid taxpayers must have a bank account to be used exclusively to make the operations established in said article. In this connection, the SENIAT will electronically send the banks and other financial institutions the list of beneficiaries identified with their corresponding Fiscal Information Registry number (RIF) and the bank account exclusively used for the aforesaid operations.

The banks and other financial institutions designated as TLFT collecting agents are bound to identify in their systems all of the transactions subject to the benefit, as well as the records of the benefit.

The Ruling became effective upon publication of the same in the Official Gazette

In order to access the Ruling, please click here.

Should you have any question or comment or require further information, please contact the partner in charge of your account via email.