# Kintsugi Sales Tax Guides for Latin America

Canonical: https://trykintsugi.com/sales-tax-guides/latam

Navigate Latin American VAT: country-by-country rates, IVA registration thresholds, e-invoicing mandates, and filing rules for businesses selling into LATAM.

The ultimate guides to mastering VAT and consumption tax across Latin America. From Mexico’s IVA to Brazil’s evolving tax reform, our expert-crafted resources give you the clarity and confidence to navigate every scenario with ease.

## LATAM Sales Tax Guides

Argentina's VAT (IVA) is 21%. Foreign digital services aren't taxed at the source: Argentine card issuers add the 21% directly to the customer's payment instead.

Barbados charges 17.5% VAT, with 22% on telecoms and 7.5% on tourism accommodation. Foreign digital sellers register above BBD 200,000. See 2026 rules.

Brazil is replacing PIS, COFINS, IPI, ICMS, and ISS with a dual VAT (CBS + IBS, an estimated ~26.5%) phasing in 2026–2033. 2026 is a no-collection test year; foreign digital sellers' registration and collection obligations take effect in 2027. See 2026 status.

Chile's VAT (IVA) is 19%, and foreign B2C digital services are taxable from the first sale with no threshold. See 2026 rates, registration, and rules.

Colombia's VAT (IVA) is 19%, and foreign digital services are taxable with no threshold. See 2026 rates, bi-monthly filing, and penalties.

Costa Rica's VAT (IVA) is 13%, and foreign digital services are taxable via registration or card withholding. See 2026 rates and rules.

Ecuador's VAT (IVA) is 15%, and foreign digital services are taxable. See 2026 rates, registration, withholding, and filing rules.

Guatemala's VAT (IVA) is 12%, and there is no dedicated regime for foreign digital sellers. See 2026 rates, filing, and penalties.

Mexico's VAT (IVA) is 16%, and digital services are taxable. New 2026 rules make platforms withhold VAT on foreign sellers. See 2026 rates and rules.

Panama's VAT (ITBMS) is 7%, and there is still no active collection regime for foreign digital sellers. See 2026 rates, rules, and filing.

Peru's VAT (IGV) is 18%, and since December 2024 foreign digital sellers must register with SUNAT and collect it. See 2026 rates and rules.

Suriname's VAT (BTW) is 10%, in force since 2023, with 25% on luxury goods and new 2026 penalties. See rates, digital rules, and filing.