The inactive company tax return filing is due November 15, 2022. As if we did not have enough of a hassle to deal with Costa Rica company filings this year, we have another one left. This one has been confusing because the government has granted several extensions and then when the filing was due the Tax Department got hacked for ransomware so the filing was pushed back again. However, at this moment they have announced the filing is due by November 15, 2022.
What do I need to File ?
The bottom line is that if you have an inactive Costa Rica company that only owns Real Estate or a vehicle for example you will need to file a simplified D-101 form listing the following items.
- Cash in banks and investments
- Capital stock of the company
- Inventory (not applicable if you just own real estate or a vehicle)
- Fixed Assets (This is where you list the value of your property or vehicle)
- Liabilities (This is if you have liabilities against the assets)
What if I don’t file on Time ?
If you cannot complete the filing in time for the deadline then try and get it filed before you are served (via email) with a notice of delinquency in the filing. If you receive that notice then you will be exposed to an administrative penalty ranging from ¢46,220 to ¢231,100.
The declaration should have been filed several months ago, but the deadline was extended due to the hacking of the computer systems of the Ministry of Finance. However, with the reactivation of the Virtual Tax Administration (ATV) online filing system, the Treasury established August 16 as the date to file the return.
Why do I have to file this D-101 Tax Return ?
This tax filing is referred to locally as an “informational declaration” because it is only uploaded and no taxes are to be paid because it only details the assets, liabilities, and capital stock equity to the Costa Rican Treasury Department.
How do I file it ?
The only way to file this is through the online digital platform ATV of the Ministry of the Treasury. For individuals that do not have a Costa Rica residency card, the system will not allow them to create an account. In those cases, you first will have to apply for a NITE, a taxpayer identification number to be able to create an online account.
The tax department wants you to file the D-101 simplified return for both 2020 (this one was pushed back due to the pandemic) and for 2021 (pushed back due to the hacking incident).
If you want to see an example of how to file the forms see the video below on How to file