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Awareness Againt the Tax Evasion in Costa Rica

attourney A former finance minister, led the revenue growth between 2002 and 2006 and he declares that in this recent years we as Costa Rican have made conscience againt the tax evasion.

Costa Rica between the 2002 and 2006 the tax revenues rose as never before in Costa Rica, even reaching the equivalent of 15% of the Gross Internal Product (GIP).

This high awareness of the tax evasion was a process of viewing the problem that achieved good things to Costa Rica by fighting cases of tax evasion by corporations and even political leaders.

However, the year the global economic recession began, it went from a situation of positive change rates to a drop in tax revenues over ¢ 255 billion due to the crisis.

There is also that GIP does not grow in areas that are encumbered, except where they're exempt as the basic food, education, health, services, and free zones, so if you're interested in the Costa Rica Real Estate just contact us.

The collection of taxes in Costa Rica has always been a problem because of those problems that exist in the legal structure of taxes and also because of the tax evaders. One can not collect rent if there is no Added Value Tax.

If anyone examines the composition of the system, they would realize tha this taxing system is being designed for a country where the goods mean the most of the GIP but that's not the actual condition of Costa Rica because we are now a services country.

The improving of the awareness was made through the media, for example publicity in the control of evasion when the Tax Police started working; also the Fiscal Lottery also generated the awareness raising.

Because of some cases of theft of large companies and a former president there was also implemented a system of Customs Control Information Technology and Finance was reinforced with new people, about 500 persons more for Tax Police, Customs and Taxation.

But still, the Ministry's capacity to control is very low. Also coordinated with the General Attorney to appoint a specialist in the prosecution of tax crimes. It's not that we have raised the revenue to 16% or 17% of the GIP, but it gained more awareness among citizens, said the former finance minister.

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