The slow, legislative process to pass the bill to fight against tax fraud has prevented the country from fully complying with the recommendations made by the Organisation for Economic Co-operation and Development (OECD).
The government should submit a report with the corrections before August 31st.
Nevertheless, the Treasury informed that tax controls have been strengthened for legal entities due to their obligation to keep their legal and accounting books updated.
Global Forum recommendations include improvements to comply with international standards of fiscal transparency. they are summarized as follows:
-Guarantee that information regarding ownership of Individual Liability Companies is available.
-Establish effective arrangements to assure the availability of information of limited partnerships and responsibility.
-Guarantee that all entities (including foreign trusts) and relevant instruments have accounting records, including underlying documentation.
It is important to highlight that while there are elements that need to be improved through legal changes, the Global Forum established that regarding the exchange of information, Costa Rica fully complies with this process as explained by Carlos Vargas, director-general of Taxation.
The report issued by the Global Forum is available in http://www.eoi-tax.org/jurisdictions/CR#latest