On December 19, 2023, Law No. 31962, “Law that clarifies the interest for refunds of overpaid or undue taxes, for withholdings or collections not applied of the IGV (Impuesto General a las Ventas – General Sales Tax/VAT) and updating of fines,” which introduced amendments to Articles 28, 38, and 181 of the Tax Code; pending publication of the regulations.
Only on December 14, the Ministry of Economy and Finance approved, by Supreme Decree No. 259-2024-EF, the regulatory provisions for the application of the amendments introduced to the above articles, applying as of January 1, 2024.
Adjustment on Debt Components
Concerning Article 28 of the Tax Code, referring to the Debt Components, the provisions referring to delinquency interest on fines were amended to refer only to the term “interest.”
Better Conditions for Tax Refunds
Concerning Article 38 of the Tax Code, for refunds of payments made unduly or in excess, the TIM (Tasas de Interés Moratorio – Delinquency Interest Rate) of Article 33 of the Tax Code will be applied. This treatment will apply even when these payments do not result from a document issued by the SUNAT (Superintendencia Nacional de Aduanas y Administración Tributaria – National Superintendence of Customs and Tax Administration). Consequently, the amendment particularly benefits those who paid by mistake and request a refund.
Lower Rate for Refunds of Undue Refunds
When a taxpayer must return amounts that the SUNAT unduly refunded, the TIPMN (Tasa de Interés Pasiva en Moneda Nacional – Deposit Interest Rate in Domestic Currency) published by the SBS (Superintendencia de Banca y Seguros – Superintendence of Banking and Insurance) on the last working day of the previous year will be applied, which is significantly lower than the rate applied before.
Significant Amendment in Delinquency Interest for Fines
Concerning Article 181 of the Tax Code referring to the Updating of Fines, the main amendment establishes that unpaid fines will no longer be calculated with the TIM (Tasa de Interés Moratorio – Delinquency Interest Rate) but rather the legal interest rate fixed by the BCRP (Banco Central de Reserva del Perú – Central Reserve Bank of Peru), stipulated in Article 1244 of the Civil Code, will now be applied.
This amendment applies to all fines pending payment as of January 1, 2024. In addition, interest will only start to accrue from the date that the SUNAT demands the fine payments through a resolution or requirement and not from the date of the infraction as before.
Effectiveness of the Amendments
For Fines:
For offenses committed or detected before the issuance of Law No. 31962 pending payment as of January 1, 2024:
- The fine is updated with the TIM until December 31, 2024.
For offenses committed or detected after the issuance of Law No. 31962:
- The fine is updated with the TIM.
For refunds:
If generated before the Law came into force, the following applies:
- Until December 31, 2023: Interest provided for in Art. 38 of the Tax Code before the amendment.
- As of January 1, 2024: TIM.
To the amount to be refunded for refunds made by the Tax Administration turning undue, the following applies:
- Until December 31, 2023: Interest provided for in paragraph b) of Art. 38 of the Tax Code before the amendment – TIPMN published by the SBS on the last working day of the previous year, multiplied by a factor of 1.20
- From January 1, 2024: The TIPMN published by the SBS on the last working day of the previous year.
The new interest rates will apply as of January 1, 2024.
Recommendations for Taxpayers
- If you have fines pending payment, you should wait for these new rates to come into effect to benefit from lower interest rates, if applicable.
- If you paid unduly or in excess, you now have better conditions to request a refund.
- For any procedure related to these issues, you must keep all supporting documentation and submit requests within the deadlines established by tax regulations.
At VAG Global, we understand that these amendments in the interest rates applicable for tax purposes may raise questions about the effects on your tax obligations. Our team of specialists is at your disposal to take advantage of these new provisions and optimize your tax planning. Contact us to assess how these amendments benefit your company and design strategies that maximize savings on delinquency interest.