BENSON, PEREZ MATOS, ANTAKLY & WATTS
FOUNDED IN 1953
LAWYERS – CONSULTANTS
Caracas, Agust 29, 2019
ON THE AMENDMENT TO THE LAW CREATING THE WEALTH TAX AND SENIAT DIRECTIVE ON DETERMINING THE VALUE OF ASSETS
As was reported at the time, on July 3, 2019, the National Constituent Assembly enacted the Constitutional Law Creating the Wealth Tax. Owing to material errors, this law has now been reprinted in Official Gazette No. 41,696, dated August 16, 2019, to correct the following errors.
- Purpose: To levy a tax on the net assets of special taxpayers whose assets are worth
150,000,000 TU or more, i.e. Bs. 7,500,000,000.00 based on a Tax Unit rate set at Bs.50.00.
- Time frame: The law provides that the taxation date will be September 30 each year.
All articles dealing with determination of value, set that date as September 30.
- A new exemption has been added for assets located in the country that belong to diplomatic and consular missions.
- Tax Base: The value on which the tax is to be based will be the sum of all assets and interests, minus liabilities and the value of levies and encumbrances on the assets, as well as any assets and interests that are exempt or exonerated.
- Taxation period: Levied annually on the value of net assets as at September 30 every year.
- The Transitional and Final provisions provide that taxation will begin on September 30, 2019.
In the case of Directive No. SNAT/2019/00213, dealing with the Rules for Updating the Value of Assets and Interests, and the formal requirements and steps for filing returns and paying the wealth tax, published in Official Gazette No. 41,697 dated August 19, 2019, it merely states that the rules to be followed for determining the value of the assets and for
filing returns and paying the tax shall be those published on the tax authority’s portal between October 1st and November 30th each year. It also states that Municipal Authorities are under the obligation to keep the values of properties within their jurisdictions up to date on the property rolls.
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BENSON, PÉREZ MATOS, ANTAKLY & WATTS
Ysabel N. Figueira G.
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