This guide provides an overview of VAT in Ecuador, including applicable rates, registration requirements, compliance obligations, and filing deadlines. It is designed for businesses engaging in transactions within Ecuador.
is the year Ecuador increased VAT from 12% to 15% to support earthquake recovery efforts.
Doing business in Ecuador? You’ll need to play by the Ecuadorian Internal Tax Regime Law rules.
Registration is required for all businesses performing taxable activities in Ecuador, not based on a threshold.
VAT registration for non-established businesses is optional if they provide digital services.
Any business registered for IVA with the Internal Revenue Service (SRI) may reclaim input VAT.
Exporters often receive additional reclaim rights, as exports are zero-rated.
Valid electronic tax invoices (obligatory in Ecuador)
Proof of payment (where relevant)
Import documents or customs declarations (if applicable)
Evidence the expenses relate to taxable activities
Refunds for exporters or cases with excess credits may take 1–3 months, depending on SRI review.
Routine reclaims for regular taxpayers are usually applied as credits rather than cash refunds.
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