Ecuador VAT (IVA) Guide for 2026: Rates, Registration & Filing

Ecuador's VAT (IVA) standard rate is 15%, raised from 12% on 1 April 2024 and confirmed by the SRI for 2026 [1]. A temporary 8% rate applies to tourism and hospitality services during officially declared holidays, a reduced 5% rate applies to certain construction materials, and a 0% rate covers basic-basket foods, medicines, health, education, and exports [1]. The tax authority is the Servicio de Rentas Internas (SRI).

For more detail, see our LATAM tax guides.

Foreign providers of digital services to Ecuadorian consumers are subject to 15% IVA with no registration threshold [2]. The SRI keeps a public catastro of non-resident providers; a provider that registers charges 15% directly, and where it does not, Ecuadorian card issuers and payment processors withhold the tax [2][3].

How to register for Ecuadorian VAT on digital services:

1. Confirm you supply digital services to Ecuadorian consumers.

2. Register with the SRI as a non-resident provider.

3. Charge 15% IVA on business-to-consumer sales.

4. File and remit monthly through the SRI.

5. If you do not register, expect card issuers to withhold the 15% instead.

Most VAT filers report monthly, with the deadline set by the ninth digit of the taxpayer's RUC [1]. Agricultural, medical, and education sellers of exclusively zero-rated goods, RIMPE-Emprendedor taxpayers, and some professionals under full VAT withholding file semiannually instead. Since 2026, the semiannual declaration and full payment must be submitted together or the filing is invalid.

Basic-basket foods, medicines, health, education, and exports are zero-rated, and certain construction materials are taxed at 5% [1]. SaaS and other digital services supplied to Ecuadorian consumers are taxable at 15% [2].

Late filing of a return with tax due carries a penalty of 3% of the tax per month or fraction of delay, capped at 100% of the tax, plus late-payment interest.

1. SRI — Impuesto al Valor Agregado (15% rate, filing): https://www.sri.gob.ec/impuesto-al-valor-agregado-iva

2. SRI — Registro, declaración y pago del IVA para prestadores de servicios digitales no residentes: https://www.sri.gob.ec/registro-declaracion-y-pago-del-iva-prestadores-de-servicios-digitales-no-residentes

3. SRI — Resolución NAC-DGERCGC20-00000055 (registration and withholding): https://www.sri.gob.ec/o/sri-portlet-biblioteca-alfresco-internet/descargar/25b165b9-d764-4f58-bf49-ece31f805171/NAC-DGERCGC20-00000055.pdf

4. SRI — Preguntas frecuentes sobre sanciones pecuniarias: https://www.sri.gob.ec/o/sri-portlet-biblioteca-alfresco-internet/descargar/1dc36b32-4415-447c-8f58-68554cda4ef1/Preguntas+frecuentes+sanciones+pecunarias.pdf