Tax in Peru


On moving to Peru, you will have to pay three different types of taxes. Find out more about these in this article.

If you are relocating in Peru, you will probably wonder whether you have to pay tax. There are three different types of taxes in Peru, namely income tax, value added tax and corporate tax which will apply if you have chosen to set up a business there. So before moving, it is best to inquire on these taxes and on related conditions.

Tax return and payment

First of all, you are required to register as a taxpayer at the Unique Registry of Taxpayers on the National Customs and Tax Superintendance (SUNAT) website. You can then submit your tax return and payment on the same website thanks to the dedicated section. Note that you have to submit your tax return at the latest in March of each year although the tax year is based on the calendar year. Tax declaration forms are available on the SUNAT website.

Income tax

Income tax for individuals is based on an annual units system. All income received in Peru, including those received by non-residents, are taxable.

The ceiling amount for each unit is fixed at 3,850 new Peruvian soles. Hence, the following rates apply as follows:

  • Between 0 and 5 units - 8 %
  • Between 5 and 20 units - 14 %
  • Between 20 and 35 units - 17 %
  • Between 35 and 45 units - 20 %
  • As from 45 units - 30 %

Deductions and exemptions may apply with regard to the nature of the income (salary, pension, compensation, etc).

On the other hand, employees are eligible to a 20% tax relief.

 Good to know:

The income tax system applies both to Peruvians and foreign nationals.


Value added tax (VAT), known as Impuesto General a las Ventas (IGV), in Peru, is deducted at a rate of 18 %. However, food products, urban means of transport, international freight, life insurances, some financial products, books, construction and boat repairs and maintenance are exempt from VAT.

Impuesto Selectivo al Consumo (ISC), that is consumption tax, also applies to the import and sale of cigarettes and alcoholic drinks at rates of 125% and 20% respectively, mineral and sparkling water, luxury items, fuel and gambling activities (casinos and betting).

Corporate tax

Corporate tax applies at a rate of 28%. Plus values are generally included in income and, therefore, applied at the normal rate. On the other hand, tax on loan interest, insurance premiums, airplane and nature rents, maritime freight, costs associated to crossing the Panama Channel, depreciation, loss, payment of royalties to non resident subsidiaries, start-up costs, payment to employees and health insurance premiums, vehicle costs, etc, are eligible to deductions and tax credits.

Finally, companies also have to pay property tax and property transfer tax, tax on social security contributions, temporary tax on net assets and tax on financial transactions.

 Useful link:

Deloitte – Peru Tax Guide

We do our best to provide accurate and up to date information. However, if you have noticed any inaccuracies in this article, please let us know in the comments section below.
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