Regulation NAC-DGERCGC20-00000030 issued by the Internal Revenue Service on April 22, 2020, amended Regulation NAC-DGERCGC14-00787 which establishes the income tax withholding percentages.
The following income tax withholding percentages have been modified:
Previous withholding percentage
Current withholding percentage
|Real estate construction activities and similar activities.||1%||1,75%|
|Insurance and reinsurance services provided by companies legally incorporated in the country and by branchesof foreign entities domiciled in Ecuador. The withholding must be applied over 10% of the invoiced or scheduled premiums.||1%||1,75%|
|Commercial lease provided by companies legally established in Ecuador. The withholding must be applied over the lease payments and the purchase option.||1%||1,75%|
|Services provided by media and advertising agencies.||1%||1,75%|
Originally published by Corral Rosales, April 2020
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