Chile Tax Agency Issues Circular Clarifying Amendments to VAT Concerning Sales of Movable Property Abroad

The Chilean Internal Revenue Service April 30 issued Circular No. 39, clarifying amendments under Law No. 21,713/2024 to the Law on Sales and Services Tax, concerning the VAT treatment of sales of movable property located abroad but treated for VAT purposes as located in Chile. The circular clarifies that the amendments: 1) establish a simplified mechanism for taxing international business-to-consumer sales of low-value goods valued under US$500 that are located abroad and destined for Chile; 2) add digital intermediation platforms as new VAT taxpayers and establish a full VAT liability regime for the transactions executed through them; 3) outline the ...