Tuesday 28 September 2021

Treasury would accept lowering Marchamo on vehicles of less than ¢4.2 million

According to Finance Minister Elian Villegas, the reduction will benefit just over 80% of the country's vehicle owners

Paying the bills

Latest

Today’s Vehicle Restriction September 28: Plates ending in “3 & 4” CANNOT circulate

QCOSTARICA - For today, Tuesday, September 28, vehicles with...

Mexico reveals why it rejects tourists from Costa Rica

QCOSTARICA - Mexico has been one of the favorite...

Bianca, Mick Jagger’s first wife: “Nicaraguan by grace of God”

QCOSTARICA - Bianca Jagger, who was the first wife...

Train Yourself to Stay Calm Under Pressure

Do you know anyone who handles stress really well?...

Alunasa, a Venezuelan state company in Costa Rica, leaves employees without salary

QCOSTARICA - The Venezuela state-owned company operating in Costa...

In Venezuela there is food, but expensive

Q24N - The Venezuelan economy has begun to reactivate....

Today’s Vehicle Restriction September 27: Plates ending in “1 & 2” CANNOT circulate

QCOSTARICA - For today, Monday, September 27, vehicles with...
Paying the bills

Share

QCOSTARICA – As we approach November 1, the day when owners of vehicles can start paying the following year’s Marchamo, there is still no consensus among politicians and legislators on reduction and if so, to what amount and how it will be applied.

Archive photo

In the legislature, there are several proposals, but the one taking center stage is the 50% reduction to the property tax of the 2021 Marchamo apply to vehicles whose Valor Fiscal (tax value) does not exceed ¢20 million colones, and a 25% reduction for vehicles with a tax value greater than ¢20 million and less than ¢50 million.

- Advertisement -

However, the Executive Branch of government doesn’t agree. The Carlos Alvarado administration would prefer to see no reduction in the circulation permit, arguing that the Marchamo is not based on the use of the vehicle.

The government’s response is to arguments put forth by many, given that this year, 2020, the vehicular restrictions have limited the use of the vehicle, currently to only five days a week, a reduction or rebate is only natural.

At stake here, for the government’s coffers, is about an ¢80 billion colones drop in revenue if the 50% plan is approved by legislators, which would still require the president’s signature for it to become a reality.

For its part, the Ministry of Finance reported that it would agree to reduce the property tax by up to 50%, in the 2021 Marchamo, on vehicles with a fiscal value at less than ¢4.2 million colones.

Minister of Finance, Elian Villegas

“This is a category that is expressly determined at the time the vehicle valuation is applied, and this includes approximately 80% of the vehicles that are part of the Costa Rican vehicle fleet,” explained Elian Villegas, Minister of Finance.

- Advertisement -

The Law provides that owners of vehicles with values greater than ¢4,210,000 pay, in a staggered manner, up to 3.5% of the value of the vehicle, so that those who have the most economic possibilities pay more.

According to Villegas, the measure would be a middle ground that would alleviate the pockets of Costa Ricans, without generating a great financial impact for the government.

According to the Minister, from the tax perspective, the proposal is progressive, since those who own vehicles with a tax value higher than that indicated will not be exonerated.

Treasury records indicate that 80% of the vehicles have a tax value below the referred amount, constitute approximately 80% of the national fleet, which translates into a reduction of ¢25 billion colones in tax collection.

- Advertisement -

The vehicle property tax is a tax that is collected each year and constitutes 63.8% of the total cost of the Marchamo

Usually, 50% of the income from this tax is used to maintain roads and the other half to help finance different programs related to education, security, and housing.

The tax values ​​of the vehicles that are currently published on the Autogestión platform of the Ministerio de Hacienda are not yet those that will used for the 2021 Marchamo.

To use the Autogestión you need to put in the vehicle plate number (required). The plate class and goverment code are optional. The results of all the vehicles and their class/code with the plate number will be displayed.

To change the fiscal value

The results of the Autogestión also allow for a review (solicitud revision) of the tax value, a process that isn’t as simple as it may appear, but worth it

The Ministry of Finance will resolve the request within a period of 30 business days.

So we recommend doing it as soon as possible once the 2021 values are posted, to get the value adjusted before the December 31, 2020 deadline to pay the Marchamo. Once the 2021 Marchamo is paid, you can still request a review, and any changes would apply to the next year’s Marchamo.

- Advertisement -
Paying the bills
Ricohttp://www.theqmedia.com
"Rico" is the crazy mind behind the Q media websites, a series of online magazines where everything is Q! In these times of new normal, stay at home. Stay safe. Stay healthy.

Related Articles

Legislators to begin discussion on reducing the 2022 Marchamo this Monday

QCOSTARICA - The political fractions, except that of the Partido Acción...

No National Census in 2022!

QCOSTARICA - The Instituto Nacional de Estadística y Censos (INEC) -...

Subscribe to our stories

To be updated with all the latest news, offers and special announcements.

Log In

Forgot password?

Forgot password?

Enter your account data and we will send you a link to reset your password.

Your password reset link appears to be invalid or expired.

Log in

Privacy Policy

Add to Collection

No Collections

Here you'll find all collections you've created before.