Americas · Tax guide

Chile

Chile taxes companies through the first category tax at 27%, or 12.5% for SMEs under the Pro-PYME regime until 2027, charges VAT at 19%, and taxes payments to non-residents through the additional tax. Taxes are administered by the Internal Revenue Service (SII).

Updated 1 October 2026 · 8 of 8 figures checked against official sources

Check your obligations

At a glance

First category tax
27%

General regime

Pro-PYME regime
12.5%

Transitional rate for SMEs

VAT (IVA)
19%

Standard rate

Additional tax
35%

On dividends and payments abroad, with credit

Employer pension contribution
3.5%

From August 2026, rising yearly

First category tax

Companies under the general regime pay 27%. SMEs under the Pro-PYME regime pay 12.5% during 2025–2027. The annual return is filed in April, with monthly provisional payments (PPM).

VAT and electronic documents

VAT is 19%, filed monthly on form F29. Invoices, receipts and other tax documents must be electronic. Clients withhold 15.25% from fee receipts (boletas de honorarios) issued by individuals.

Employers

Under the 2025 pension reform, employers pay a new pension contribution of 3.5% from August 2026, rising gradually over the following years, on top of existing payroll obligations.

Payments abroad

Dividends and many payments to non-residents carry the additional tax of 35%, with a credit for the first category tax the company has paid. Royalties carry 15% to 30% depending on the type. Groups with revenue of €750 million or more file country-by-country reports.

Key dates

  • By the 20th of each month (12th on paper)F29 return: VAT, provisional payments and withholdings
  • AprilAnnual income tax return

Figures and sources

8 figures
  • First category tax rate — general regime27%
    Ley sobre Impuesto a la Renta · Art. 20
    Checked against the official source
  • Transitional first category tax rate for the Pro-PYME regime (2025–2027)12.5%
    Law 21.735 (pension reform) · LIR art. 14 D) N° 3
    Checked against the official source
  • VAT (IVA) rate19%
    Ley sobre Impuesto a las Ventas y Servicios (DL 825) · Art. 14
    Checked against the official source
  • Additional withholding tax on dividends and many payments to non-residents (with credit for first category tax)35%
    Ley sobre Impuesto a la Renta · Arts. 58–60
    Checked against the official source
  • Employer pension contribution from August 2026 (rising to 8.5% by 2033)3.5%
    Law 21.735 · Ley 21.735
    Checked against the official source
  • Withholding on fee receipts (boletas de honorarios) in 2026, rising yearly15.25%
    Ley 21.133 · Ley 21.133
    Checked against the official source
  • Additional tax on royalties, depending on the type15% to 30%
    Ley sobre Impuesto a la Renta · Art. 59
    Checked against the official source
  • Group revenue for country-by-country reporting€750 million
    Ley sobre Impuesto a la Renta, Art. 41 E
    Checked against the official source

Indicative only. This assessment is a high-level overview of tax obligations in Chile based on the information you provided and rules in force for 2026. It is not tax or legal advice. Consult a Chilean tax adviser (asesor tributario) before making compliance decisions.