Address: Providencia 2594 Of. 512-513. Providence, Santiago.

email: contacto@torrescia.cl

phone: +56(2)23351056

Local and International Taxation

Specialized tax advice for companies and individuals. We optimize your tax burden and ensure compliance with tax obligations in Chile and abroad.

Areas of Specialization

Tax Services

We offer comprehensive tax advice both locally and internationally, helping companies and people to comply with their tax obligations efficiently and strategically.

Local Taxation

Comprehensive advice on national taxes: income, VAT, inheritance and donations. Includes consulting tax, tax optimization and compliance with obligations before the SII.

International Taxation

Specialists in additional tax, double taxation agreements and transfer pricing. We advise cross-border operations under OECD standards.

Taxation

Local Taxation

Specialized advice on the Chilean tax system, compliance with tax obligations and optimization of the tax burden in accordance with current SII regulations.

Income Tax

First Category Tax

Advice on the tax that taxes capital and business income, with a general rate of 27%.

  • Determination of the tax base
  • General and Transparent Pro SME Regime
  • Semi Integrated Regime (14 ter)
  • Monthly provisional payments (PPM)
  • Dismissed and added expenses
  • Monetary correction
  • Operation Annual income

Complementary Global Tax

Progressive tax that taxes the income of natural persons domiciled in Chile.

  • Annual income declaration (Form 22)
  • Progressive rate scale (0% to 40%)
  • First Category Tax Credits
  • Exempt income and income that does not constitute income
  • Foreign investment declarations
  • Personal tax planning

Second Category Tax

Tax applicable to income from dependent and independent work (fees).

  • Withholding and declaration of wages
  • Electronic fee slips
  • Applicable rates according to income brackets
  • Annual tax reassessment
  • Presumptive expenses (30% fees)
  • New freelancers

Income from Movable Capital

Taxation of dividends, interest, capital gains and other investment income.

  • Single tax on dividends (35%)
  • Interest and financial income
  • Capital gains on stocks and securities
  • Taxation of investment funds
  • APV and voluntary pension savings
  • Investments abroad (Form 1929)
Special Tax Regimes

We advise on choosing the most convenient tax regime according to the size and characteristics of your company: Pro SME Regime (14 ter letter A), Pro SME Transparente (14 ter letter D), o Semi Integrated Regime. Each regime has specific advantages in terms of tax burden and formal obligations.

VAT (Value Added Tax)

VAT on Sales and Services

Advice on the correct application of VAT (19%) in commercial operations.

  • Electronic billing
  • Monthly tax debit
  • Affected and exempt sales
  • VAT on digital services
  • Declaration Form 29

VAT Tax Credit

Optimization of the tax credit to reduce the VAT to be paid monthly.

  • Validation of purchase invoices
  • Recoverable tax credit
  • Fixed asset VAT (3 years)
  • Credit proportionality
  • Tax credit remnants

VAT refund

Management of VAT refund requests for exporters and other special cases.

  • VAT exporters
  • Fixed asset return
  • Real estate construction
  • Procedures before the SII
  • Guarantees and documentation

VAT Imports

Advice on VAT on imports and foreign trade operations.

  • Customs VAT (19%)
  • VAT deferral
  • Temporary imports
  • Temporary admission regime
  • Special credit for construction companies

Real Estate VAT

Special taxation on property sales and real estate services.

  • Sale of new properties
  • Housing leasing
  • Lease with purchase option
  • Sales promises
  • Applicable exemptions

Compliance and Declaration

We ensure correct compliance with formal VAT obligations.

  • Purchase and sales book
  • Electronic FUT registration
  • Electronic certificates
  • Preventive audits
  • Documentary support

Inheritance and Donation Tax

Inheritance Tax

Advice on the taxation of hereditary assignments and determination of the applicable tax.

  • Valuation of hereditary assets
  • Determination of assignments
  • Progressive scale (1% to 25%)
  • Applicable legal exemptions
  • Payment term (2 years)
  • Payment facilities before the SII
  • inheritance affidavit
  • Coordination with effective possession

Donation Tax

Tax planning and compliance in inter vivos donations.

  • Applicable rates (1% to 25%)
  • Irrevocable donations
  • Donations for specific purposes
  • Donations to foundations and corporations
  • Tax benefits Donations Law
  • Cultural and educational donations
  • Donation certificates
  • Succession planning

Other Special Taxes

Stamp Tax

Taxation on credit operations and banking documents.

  • Credits and loans
  • Credit lines
  • Rate 0.033% monthly
  • Applicable exemptions

Mutual Tax

Lien on mutual mortgage contracts and credit operations with real estate guarantee.

  • mortgage loans
  • Mutuals with real guarantee
  • Rate 0.2% on capital
  • DFL2 and social exemptions

Luxury Tax

Additional taxation on luxury goods and goods of high commercial value.

  • Variable rates by category
  • Additional VAT applicable

Tax Consulting and Optimization

Tax Planning

Strategies to optimize the tax burden legally and efficiently.

  • Corporate structure analysis
  • Choice of tax regime
  • Investment planning
  • Tax deferral
  • Efficient use of exemptions
  • Business reorganizations

Defense against the SII

Representation in audits, settlements and tax claims.

  • Attention to SII requirements
  • Defense in audits
  • Challenge of settlements
  • Replacement resources
  • Tax and Customs Court
  • Waiver of fines and interest

Tax Compliance

We ensure timely compliance with all tax obligations.

  • Annual tax calendar
  • Monthly declarations F29
  • Income Operation (F22)
  • Affidavits
  • Tax certificates
  • Internal preventive audits

Tax Due Diligence

Exhaustive review of the tax situation in purchase or investment processes.

  • Analysis of tax contingencies
  • Review of historical statements
  • Identification of hidden liabilities
  • Tax risk assessment
  • Reports for investors
  • Corrective recommendations

Payment Agreements

Negotiation and management of payment agreements with the SII and Treasury.

  • Payment capacity evaluation
  • Negotiation of deadlines
  • Required guarantees
  • Quota Tracking
  • Debt restructuring
  • Forgiveness of interest and fines

Tax Training

Training and updating in tax matters for internal teams.

  • In-company workshops
  • Regulatory update
  • Practical cases
  • Specialized talks
  • Reference material
  • Monthly tax alerts
Taxation

International Taxation

Specialized advice on cross-border tax aspects, application of international treaties and compliance with OECD standards for operations abroad.

Additional Tax

Remittances abroad

Taxation of payments abroad by people and companies without domicile or residence in Chile.

  • General rate 35% (or 30% in certain cases)
  • Dividends and distributed profits
  • Services provided abroad
  • Interest and commissions
  • Royalties and copyrights
  • International technical consultancies
  • Withholding and declaration (F50)
  • Tax residence certificates

People without Domicile or Residence

Special tax obligations for foreigners operating in Chile.

  • Permanent establishment
  • Chilean source income
  • Professional services
  • Artists and athletes
  • Representatives and agents
  • Applicable withholdings
  • Affidavits
  • Obtaining temporary RUT
Permanent Establishment

A permanent establishment is configured when a foreign company has a fixed place of business in Chile, such as offices, branches, factories, or when carrying out works or projects for more than 6 months. This generates special tax obligations and requires registration in the RUT. We advise on the correct determination and fulfillment of these obligations.

Double Taxation Agreements (CDT)

Application of International Conventions

Chile has signed agreements to avoid double taxation with more than 30 countries. We advise in its correct application to reduce or eliminate international double taxation.

  • Tax Residence:Determination of the country of tax residence according to CDT criteria (permanent domicile, center of vital interests, habitual residence, nationality)
  • Application of the Convention:Analysis of the specific clauses applicable to each type income (dividends, interest, royalties, capital gains, professional services)
  • Additional Protocols:Review of protocols that modify or clarify provisions of the main agreement and its impact on specific operations
  • OECD model:Interpretation in accordance with the OECD Model Tax Convention and your official comments to resolve ambiguities
  • OECD Comments:Use of comments on the Model Agreement as a tool internationally recognized interpretive
  • Residence Certificates:Management and obtaining of official residence certificates tax issued by the tax authorities
  • Declaration Forms:Preparation of special forms (Form 4415, F3500, etc.) to accredit application of agreements
  • Reduced Rates:Application of reduced withholding rates at source for dividends, interests and royalties as established in each CDT
  • Foreign Tax Credits:Recognition and calculation of taxes paid abroad as a credit against Chilean taxes
  • Friendly Procedure (MAP):Representation in mutual agreement procedures between competent authorities to resolve disputes
  • Limitation of Benefits Clause:Analysis and compliance with anti-abuse requirements included in modern conventions
  • Country by Country (CbCR):Compliance with country-by-country reporting according to BEPS standards for multinational groups
Countries with Current CDT

Chile maintains current agreements with: Argentina, Australia, Austria, Belgium, Brazil, Canada, China, South Korea, Croatia, Denmark, Ecuador, Spain, France, Ireland, Italy, Japan, Malaysia, Mexico, Norway, New Zealand, Paraguay, Peru, Poland, Portugal, United Kingdom, Czech Republic, Russia, South Africa, Sweden, Switzerland, Thailand, among others.

OECD model

The OECD Model Tax Convention on Income and Wealth serves as a basis for the majority of CDTs subscribed by Chile. Your comments are a key tool for the uniform interpretation of agreements and the resolution of complex cases, being recognized by the SII and the Chilean courts.

Transfer Pricing

OECD Regulations and Related Parties

Comprehensive advice on transfer pricing following the OECD Guidelines and the Chilean regulations of article 41 E of the Income Tax Law.

  • Arm's Length Principle:Pricing and conditions as if the parties were independent
  • Related Parties:Identification of direct and indirect control relationships common or crossed between companies of the multinational group
  • Cross-Border Operations:Analysis of international transactions between related companies (sales, services, loans, royalties, intangibles)
  • OECD Valuation Methods:
    • • Comparable Uncontrolled Price (CUP) Method
    • • Resale Price Method
    • • Cost Plus Method
    • • Profit Split Method
    • • Transactional Net Margin Method (TNMM)
  • Comparability Analysis:Search and selection of companies or transactions independent comparables using specialized databases
  • Functional Analysis:Identification of functions performed, assets used and risks assumed by each group entity
  • Transfer Pricing Study:Preparation of detailed documentation that supports the reasonableness of the prices applied
  • Affidavit 1907:Preparation of annual operations report with related parties before the SII
  • Affidavit 1948:Additional information on specific operations and applied methodologies
  • Advance Pricing Agreements (APA):Negotiation of agreements with the SII that establish the valuation methodology in advance
  • Intangibles and Royalties:Valuation of transfer of intangibles, brands, patents, know-how and intellectual property rights
  • Business Restructuring:Analysis of the tax impact of reorganizations within the multinational group
  • Defense against inspections:Representation in SII audits on transfer pricing and international operations
  • Transfer Pricing Adjustments:Primary settings management, secondary and correlative to detected differences
  • BEPS (Base Erosion and Profit Shifting):Implementation of measures anti-base erosion and profit shifting according to OECD initiatives
  • Master File and Local File:Preparation of documentation according to standards international (master file and local file)
  • Country-by-Country Report:Country-by-country reporting for income groups consolidated assets exceeding EUR 750 million
Importance of Compliance

Failure to comply with transfer pricing rules may result in: (1) Adjustments to the basis taxable with additional taxes, (2) Fines that can reach up to 150% of the tax evaded, (3) Interest and adjustments on unpaid amounts, (4) Audit contingencies international coordination between countries. Adequate and contemporary documentation is the best defense against inspections.

Intragroup Services

Analysis and assessment of shared services within the business group.

  • Administrative services
  • IT services
  • Corporate consultancies
  • Centralized management
  • Determination of added value

Intragroup Financing

Structuring and documentation of loans between related companies.

  • Market interest rates
  • Debt/equity ratio (3:1)
  • Debt capacity
  • Guarantees and conditions
  • Thin capitalization rules

Purchase and Sale Operations

Pricing of international commercial transactions of goods.

  • Purchase of raw materials
  • Sale of finished products
  • International distribution
  • Commissions and margins
  • Comparability adjustments
+25
Years of Experience

Advising on tax matters since 1997

+500
Advised Clients

Companies and people trusting our expertise

98%
Success in Audits

Favorable cases before the SII and Courts

+30
Advised Countries

International operations around the world

Methodology

Our Tax Advisory Process

We work with a structured methodology that guarantees compliance and optimization

1

Tax Diagnosis

We carry out an exhaustive analysis of your current tax situation, identifying risks, contingencies and opportunities for tax optimization. We review historical statements and we evaluate regulatory compliance.

2

Strategic Planning

We design a personalized tax strategy that considers your business objectives, corporate structure and national and international operations. We propose schemes legal and efficient optimization.

3

Implementation and Compliance

We execute the agreed strategy, managing all declarations, procedures and required documentation. We prepare and present all obligations in a timely manner monthly and annually before the SII.

4

Monitoring and Update

We continuously monitor regulatory changes and relevant jurisprudence. We keep your tax strategy updated and provide timely alerts on new obligations or applicable benefits.

Contact

Let's talk about your next project

Our professional team receives each request directly, ensuring personalized attention, confidential and timely.

WhatsApp

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E-mail

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contacto@torrescia.cl
Phone

Contact us directly to resolve your queries immediately.

+56 9 8680 8760
Office

Schedule a visit and let's talk personally.

Providence 2594 Of. 512-513.
Santiago.