I. TAX UPDATES
1. 1. Central Government.
1.1. Tax measures established by Supreme Decree No. 5563, dated February 28, 2026.
Supreme Decree No. 5563 introduces and regulates tax measures that will generate significant impacts on the tax, operational, and financial management of companies and individuals engaged in economic activities in Bolivia. Among the most important measures are the phased reduction of the Corporate Income Tax for Foreign Beneficiaries (IUE‑BE) for reinvested profits, accelerated depreciation of fixed assets acquired in fiscal year 2026, exceptional deductibility of provisions for uncollectible loans, clarifications on the scope of related expenses for independent professionals, modifications to the accreditation of the Corporate Income Tax (IUE) as a credit against the Transactions Tax (IT), adjustments to the treatment of non‑creditable VAT associated with zero‑rate transactions, updated ICE rates for beverages and certain vehicles, and the extension of corporate reorganization rules to sole proprietorships.
1.2. Amendments to the GA and the IEHD for the import of Jet Fuel A-1. Supreme Decree No. 5543, dated February 9, 2026.
The Supreme Decree reduces the Customs Duty (GA) rate to 0% and sets the specific IEHD rate at 0 Bs/Liter for the importation of Jet Fuel A‑1, with the aim of lowering import logistics costs and preventing impacts on the final consumer price.
1.3. Reduction to 0% of the Tariff Duty for the importation of soybean grain, subheading 1201.90.00.00. Supreme Decree No. 5547, dated February 18, 2026
The Supreme Decree No. 5547 sets the Tariff Duty rate at 0% for the importation of soybean grain, subheading 1201.90.00.00, in force until December 31, 2026, as a measure aimed at strengthening the production of soybean by-products.
1.4. Authorization for YPFB and Refineries to Import Crude Oil. Supreme Decree No. 5548, dated February 18, 2026
The Supreme Decree exceptionally authorizes YPFB and domestic refineries to import crude oil in order to ensure fuel supply in the domestic market. It establishes that refineries may import crude oil for processing and must commercialize the refined products to YPFB or wholesale distributors. Additionally, the Decree sets the IEHD rate at Bs 0.00 per liter for a period of one year for products derived from imported crude oil.
2. Chamber of Deputies.
2.1. Partial Amendment to the Bolivian Tax Code and Establishment of an Extraordinary Tax Amnesty Regime. Bill No. 199/25-26.
The Bill proposes amendments to the Bolivian Tax Code (CTB) establishing that, in tax audit proceedings initiated ex officio, the tax debt will be calculated from the date of notification of the Audit Order or Verification Order. In addition, it introduces an extraordinary regime granting a 100% waiver of interest, penalties, and sanctions on tax liabilities generated from January 1, 2013, until the publication of the Law, allowing taxpayers to regularize their situation by paying only the updated principal tax.
2.2. Bill for the Repeal of the IGF and the ITF. PL-115/25.
The Bill PL-115/25 provides for the full repeal of Law No. 1357 (creating the Large Fortunes Tax – IGF) and Law No. 3446 (establishing the Financial Transactions Tax – ITF), together with all subsequent amendments thereto, on the grounds of their limited revenue-generating impact—representing 0.33% and 0.37% of total tax revenues, respectively—the sustained decline in IGF collections, and their alleged negative effects on investment, savings, and capital inflows.
2.3. Bill repealing Article 18 of Law No. 1356 (PGE 2021) to reinstate 100% VAT input tax credit on fuel purchases. PL-193/25-26.
The Bill proposes to repeal Article 18 of Law No. 1356 and to exclude it from the Annex to Law No. 2042, with the aim of reinstating recognition of 100% of the VAT input tax credit on the purchase of gasoline and diesel oil, of any origin, within the framework of Law No. 843 and applicable regulations; the explanatory memorandum justifies the measure on the basis of distortions generated by the previous fuel subsidy and price-freezing scheme, which would have encouraged smuggling and shortages.
2.4. Bill for the Creation and Development of the El Alto Special Economic and Industrial Zone (ZEEI-EA). PL-253/25-26.
The draft bill proposes the creation of the El Alto Special Economic and Industrial Zone (ZEEI‑EA) to promote industrialization, attract investment, and foster value‑added exports through a special legal, tax, and customs regime for a period of 30 years. The initiative provides for incentives such as an exemption from Corporate Income Tax (CIT) for 10 years, followed by a reduced rate thereafter; a 0% VAT rate on domestic inputs; exemption from Customs Duty (GA) and VAT on the importation of machinery; municipal tax benefits; and the obligation for companies to employ at least 70% of their workforce with residency in El Alto.
3. National Tax Service
3.1. Amendments and additions to RND No. 10-0019-16 regarding VAT input tax credit linked to interdepartmental and international transportation of passengers and cargo. Board Normative Resolution No. 102600000003, dated February 12, 2026
The RND amends and adds provisions to RND No. 10-0019-16 in order to specify which purchases and services are deemed linked to the activity of interdepartmental and international transportation of passengers and cargo for purposes of computing the VAT input tax credit, adjusting invoicing requirements and user identification in items such as transportation, lodging and medical services, defining conditions for refreshments and banking services and training, and expressly including as linked certain technology and telecommunications services, roadside assistance and communication equipment.
3.2. Extension of the deadline for the homologation of products with economic activities in the National Taxpayers Registry. Board Normative Resolution No. 102600000004, dated February 23, 2026 (Extension of the Sole Transitional Provision of Board Normative Resolution No. 102500000018).
The Board Normative Resolution (RND) extends until May 29, 2026 the deadline for VAT taxpayers to align their products in their invoicing systems with the economic activities registered in the National Taxpayers Registry (RNC), a requirement for the authorization to issue tax documents. The measure responds to requests from taxpayers who reported difficulties in meeting the previous deadline and seeks to facilitate the adjustment of their systems without modifying the conditions of the process.
4. Autonomous Territorial Entities
Autonomous Municipal Government of Tarija
4.1. Amendment to Municipal Law No. 262 on the Relief and Waiver of Penalties and Interest for Omitted Municipal Taxes. Municipal Law No. 0519-2026, dated February 2, 2026.
The Municipal Law amends Municipal Law No. 262, which establishes a regime for the waiver of penalties and interest related to omitted municipal taxes, while maintaining its structure and benefits. The amendment extends the temporal scope of the regime, allowing taxpayers to regularize liabilities related to the IMPBI and IMT generated up to fiscal year 2024. Taxpayers may access proportional waivers depending on the amount of tax paid, with the possibility of a full waiver of ancillary charges in the event of full payment of the tax due.
Autonomous Municipal Government of Santa Cruz de la Sierra
4.2. Extension of Tax Amnesty Deadline as a Tax Incentive Policy. Municipal Tax Administrative Resolution No. 009/2026, dated February 11, 2026.
The Resolution extends until March 20, 2026 the deadlines for payment of fiscal year 2025 municipal taxes. granting a 15% discount on the Municipal Real Property Tax (IMPBI) and the Municipal Motor Vehicle Tax (IMPVAT), and a 10% discount on the Municipal Business License Tax.
Autonomous Municipal Government of Cochabamba
4.3. Municipal Tax Amnesty. Municipal Law No. 1800/2026, dated February 24, 2026
The Municipal Law establishes an exceptional period for the waiver of penalties and interest on outstanding municipal tax liabilities in Cercado Province, Cochabamba, effective from its publication until March 20, 2026. The regime allows taxpayers to regularize their debts through the full elimination of ancillary charges, requiring payment only of the omitted tax.
5. National Government Announcements.
5.1. Announcement of the PL on Transparency and Tax Relief.
The Executive Branch announced the submission to the Plurinational Legislative Assembly of a Draft Law that introduces tax measures aimed at expanding the taxpayer base, reducing tax arrears, and increasing transparency in the determination of VAT. Among the main proposals are the creation of the SIETE‑RG regime for entrepreneurs with annual income of up to Bs 400,000; the reduction of the general tax statute of limitations to four years; an extraordinary forgiveness for tax debts generated up to December 31, 2017; a special regularization regime for tax obligations generated from 2018 through the publication of the future law; and an adjustment to the VAT tax base that would, in practical terms, reduce its effective rate from 14.94% to 13%. As this is a legislative proposal, its validity and application will depend on its approval by the Plurinational Legislative Assembly and its eventual regulation.
5.2. AIT closed 2025 with 0% procedural backlog and decided 3,994 tax appeals for more than 1,040 million UFV. Institutional management report dated February 26, 2026.
The Tax Appeals Authority reported the results of its Final 2025 Public Accountability Report, highlighting a 0% procedural backlog and a budget execution rate of 94.74%. During the fiscal year, it issued 2,275 resolutions on Appeals (Recurso de Alzada) and 1,719 resolutions on Hierarchical Appeals (Recurso Jerárquico), totaling 3,994 decisions involving more than 1.04 billion UFVs. It further noted that 100% of its resolutions were issued within the deadlines established by the Bolivian Tax Code (CTB), with specific extensions where applicable. In judicial proceedings, the Authority was served with 421 contentious‑administrative lawsuits and 52 constitutional injunctions (amparos). Of the 238 court rulings issued in 2025, 49% dismissed the claims, thereby upholding the Authority’s decisions.
II. MONITOR OF CURRENT TAX AMMESTY PROGRAMS
Gobiernos Municipales
Tax debt regularization programs (“tax amnesties”) in the fiscal and tax administration context represent an important mechanism to reduce tax arrears, normalize outstanding tax liabilities, and promote voluntary compliance by taxpayers. For this reason, at PPO Indacochea we monitor the amnesties currently in effect at both the departmental and municipal levels. For this edition, we identified active amnesties in the municipalities of La Paz, Achacachi, Chulumani, Palos Blancos, Cochabamba – Cercado, Santa Cruz de la Sierra, San Borja, Buena Vista, San Pedro, Montero, Warnes, and Ascensión de Guarayos.
