From the diverse range of corporations, we have two special groups: active and inactive. The inactive entities are those who don’t perform any commercial activity, instead, they function as shell companies used, for example; to hold a vehicle, or real estate, or provide some legal protection.
Even though, it is a shell company since 2020 is mandatory to make a tax return over the information of the corporation. Sounds ironic to comply with this rule since the company doesn’t make any business, but the main purpose of this is to declare the data of your entity.
To fulfill this declaration, you must do it through the Form called D-195, which is provided by the Tax Office of Costa Rica. Note that prior to disclosing the requested information (numbers of assets, chattels, etc.) you have to register the corporation in the system with the name of ATV of the Taxation Department.
The declaration for inactive companies must be fulfilled no later than May 31st (usually due in April but this time the government extended the term), missing the obligation would cause fines of US$2,500.
We know the concerns that this matter brings to you, and that’s why we are pleased to help you. Please, feel free to contact us to clarify any doubts.
FOR MORE INFORMATION
Contact Us
