Latin America in Focus — May 2016
Staying ahead of cross-border operations
Latin America's emergence as a world market has been, and continues to be, accompanied by an upsurge in the complexity of laws, regulations, and practices impacting cross-border operations throughout the region. Latin America in Focus shares the latest developments with consequences for the region's tax, legal, and overall business environment—developments that businesses and individuals with investments in Latin America cannot afford to ignore.
Click on any of the headings below to read more about the topic.
New procedures for acceptance of foreign documents
The decision to join the Hague apostille convention will facilitate the recognition of foreign documents in the country.
Capital gains tax and CFC rules modified
A new law changes previous modifications to the capital gains tax rates for individuals and introduces changes to the CFC rules for affiliated entities.
2016 Key Milestones
Reporting deadlines and other key compliance milestones in the Cayman Islands are approaching.
Guidance issued on tax treatment of transportation services provided by nonresidents
A ruling clarifies the tax treatment of transportation services provided by a foreign entity through a mobile app where the customer pays for the services via a credit or debit card.
Court ruling determines that cooperatives are not entities subject to Municipal Patent Tax in San José
Judicial tax court issues a ruling on the Municipality of San José's patent tax.
Milestones in the power sector
Amendments to the constitution, as well as relevant legislation, have opened up Mexico’s energy sector to private foreign and local investors.
New protocol signed to tax treaty with Spain
An amending protocol to the treaty will implement recommendations under action 6 of the OECD’s BEPS action plan, modify certain withholding tax provisions, change the anti-deferral rule for intragroup reorganizations and make certain other modifications.
Regulatory and tax aspects of the FIBRA E
Mexican investment trusts in energy and infrastructure, commonly referred to as the “FIBRA E,” have been the subject of discussion since the new vehicle became effective in September 2015.
Expanded information requirements to avoid application of alternative minimum tax
Additional information must be submitted to request an exemption from the alternative minimum tax, and the tax authorities will conduct a review to determine whether to grant a request.
These materials are available to further support your cross-border efforts:
- Shared Services in Latin America
- Global Economic Outlook: Q1 2016
- BEPS: Base Erosion and Profit Shifting
- Deloitte CbC Digital Exchange (CDX)
- Deloitte International Tax Source
- Country highlights
- Deloitte tax@hand
- Deloitte Legal in Latin America
- Deloitte Millennial Survey 2016
Access previous editions of the newsletter
Latin America in Focus - February 2016
Latin America in Focus - December 2016
Latin America in Focus - October 2015
For more information, please contact the Americas Tax & Legal Hub.
Note: Latin America in Focus is not intended to be an inclusive update for all Latin America countries but rather features key developments for applicable countries as available.