Tax Incentives for Expatriates and Digital Nomads in Peru
Peru offers a range of tax incentives to attract and retain expatriates and digital nomads. These incentives aim to promote economic growth, attract skilled professionals, and support temporary residents.
Eligibility Criteria
To qualify for tax breaks, expatriates and digital nomads must meet specific criteria:
- Expatriates: Individuals who are not domiciled in Peru and have resided in the country for less than 183 days in a calendar year.
- Digital Nomads: Individuals who work remotely for non-Peruvian companies and have a temporary residence in Peru.
Types of Tax Breaks
Expatriates and digital nomads may benefit from the following tax breaks:
- Exemption from Income Tax on Foreign Income: Expatriates are exempt from paying income tax on income earned outside Peru.
- Reduced Income Tax Rate: Digital nomads may qualify for a reduced income tax rate of 15% on income earned from remote work performed for non-Peruvian companies.
- Tax Deductions: Expatriates and digital nomads can deduct certain expenses related to their work, such as housing, transportation, and healthcare.
Application Process
To claim these tax breaks, expatriates and digital nomads must:
- Apply for a Tax Identification Number (RUC): Obtain a RUC from the Peruvian tax authority (SUNAT).
- Submit a Tax Return: File an annual tax return declaring their income and expenses.
- Provide Supporting Documentation: Submit documentation to prove eligibility, such as proof of residency, employment contracts, and financial statements.
Legal Framework
The tax incentives for expatriates and digital nomads are established in the following legal documents:
- Income Tax Law (Ley del Impuesto a la Renta): Outlines the tax treatment of residents and non-residents, including exemptions and deductions.
- Decree Law No. 1499: Establishes the reduced income tax rate for digital nomads.
- **SUNAT Resolution No. 00000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000
