Tax authorities in Latin America had selected their respective races, prepared their game plans and were beginning to pick up momentum – only to be stalled by COVID-19. As a result, a variety of national plans to modernise problematic tax legislation, move towards international standards, and simply clean up economies, have hit a hurdle.
The devastating consequences of the pandemic are likely to leave a long-lasting impact on global markets, and individual countries will need to mitigate their own financial situations. In that regard, some countries in Latin America have used adrenaline from recent progress to introduce measures to protect economies and stimulate investment. A disciplined approach should inspire a strong comeback.
Partnering with experts from 13 countries across Latin America, ITR brings you an exclusive insight into some of the region's most significant tax-related developments.
Deloitte's practitioners from across Mexico and Central America report on the challenges that tax authorities face, as they try to provide much-needed harmonisation to regional transfer pricing (TP) regimes.
In the Andean states, Deloitte assess how tax authorities in Colombia, Peru and Venezuela have improved their audit and compliance capabilities, as they look to embrace tax transparency. Meanwhile, the article from Miguel Mur Abogados evaluates the Peruvian government's attempts to alleviate economic uncertainty amid the pandemic.
Deloitte Brazil examine how the country is progressing with its goal of attaining OECD membership and review the precarious road to alignment with international standards that lays ahead.
Deloitte also discuss the recent commotion seen in the TP space by South American countries. Authorities in Argentina have been dealing with enforced TP reform, Chile is working on an innovative advance pricing agreement, while Uruguay has just concluded its first TP controversy case. PwC Chile outline the importance of progressing with the announced tax reforms and highlight the most relevant changes that would affect foreign investors.
We hope that you find the answers to the challenges outlined in the 2020 edition of our Latin America guide appealing.
Prin Shasiharan
Commercial editor
ITR