El Salvador: Compliance with tax obligations and customs regimes are not suspended by COVID-19

Written by:

Diego Martín y William Escobar


By this means we make your knowledge available:

By means of Legislative Decree No. 631 dated April 16, 2020, published in the Official Gazette No. 77, Volume No. 427 of April 16, 2020, the “National State of Emergency of the Pandemic by COVID-19” was extended for 15 days, which will end on May 1, 2020, and that among other measures suspends the legal terms of the administrative procedures and judicial processes, in which both individuals and the Public Administration participate, resuming the counting of terms until May 4, 2020.


However, this suspension of terms is not applicable to the cancellation of customs regimes such as the Temporary Admission for Active Improvement; Temporary Admission for Beneficiaries of the Law of International Services and Temporary Importation of Used Vehicles (ARIVU), among others (Information Bulletin No. DGA 07-2020). However, the obligation of the subjects benefited by the Law of Industrial and Commercial Free Zones and the Law of International Services, among others, to present reports and inventory details was suspended (Informative Bulletin No. DGA 013-2020).


The obligation to file tax returns, together with the corresponding payment, has not been suspended either. In particular, it should be noted that the obligation to file the Annual Return and payment of Income Tax is due on April 30, 2020. Compliance with this obligation is possible through the online declaration and payment channels, which can be accessed from the Ministry of Finance’s website www.mh.gob.sv

However, without prejudice to compliance with the obligation to declare and pay the various taxes, fiscal measures have been approved to mitigate the negative effects of the COVID-19 pandemic, such as:

  1. It is exempted for three months from the payment of the Special Contribution for the Promotion of Tourism.
  2. The payment of Income Tax is extended to the following taxpayers: a) companies in the tourism sector, whose tax payable does not exceed USD $25,000.00; b) small taxpayers whose tax payable does not exceed USD $10,000.00; c) companies that generate, transmit, distribute and market electric energy; and d) companies that provide subscription television, internet and telephone services. For the latter companies, the deadline for paying the advance payment of income tax is also extended.

For any additional questions, please contact Diego Martín (dmartin@consortiumlegal.com) and/or William Escobar (wescobar@consortiumlegal.com)

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