Law No. 1546 “Law of the General Budget of the State Management 2024” dated December 31, 2023 and regulation Supreme Decree No. 5095 dated January 3, 2024 provides the following tax incentives for the agricultural, industrial, construction and mining sectors to promote the reactivation and promotion of the import substitution policy, under the following conditions:

1. The importation of capital assets and industrial installations, destined to the agricultural, industrial, construction and mining sectors, is exempted from the payment of Value Added Tax – VAT.
2. The sale in the domestic market of capital assets and industrial plants, destined to the agricultural, industrial, construction and mining sectors, is subject to the zero rate of Value Added Tax – VAT.
3. The capital assets and industrial installations, destined to the agricultural, industrial, construction and mining sectors, subject to the exemption and zero rate of VAT, provided for in paragraphs 1 and 2 shall be established by the Executive Branch by means of a Supreme Decree.
4. The age for the importation of:

a) Capital assets and industrial installations, destined to the agricultural, industrial, construction and mining sectors, with exemption and zero rate of VAT shall be less than or equal to ten (10) years;

b) Goods with VAT exemption and zero rate consigned to companies and public institutions may benefit from the tax incentives, as long as they are new.

The exemption and zero rate established above, will have a duration from January 1, 2024 to December 31, 2024.