Ecuador

Corporate taxation

Corporate income is taxed at 22% or 25%. A higher 28% tax rate apply if non-resident shareholders are located in a tax haven jurisdiction or where the company’s ownership structure has not been duly disclosed.

Transfer pricing

Ecuador’s transfer pricing rules was introduced in december 2004 and can be found in

• LEY DE REGIMEN TRIBUTARIO INTERNO, Section Two (Click here for English translation) and
• REGLAMENTO PARA APLICACIÓN LEY DE RÉGIMEN TRIBUTARIO INTERNO (Click here for English Translation)

These provisions refers to the OECD guidelines as a technical reference and are largely in line with the OECD guidelines.

The arm’s length principle apply to transactions between related parties and to transactions with low tax jurisdictions.

• • • • Transfer Pricing Country Profile
      • Transfer Pricing Dispute Resolution Profile
      • Tax Administration

Transfer Pricing Case Law