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The Peruvian legal framework and its impact on business

5 February, 2025

A country’s legal framework is a fundamental structure for the functioning of companies, as it regulates their activities, establishes the rights and responsibilities of economic actors, and promotes an environment of transparency and justice. In Peru, the legal and tax system has a direct influence on the operation and success of companies. This article analyses how the Peruvian legal framework impacts companies, highlighting the importance of having tax, accounting and legal advice to comply with current regulations.  

The Peruvian legal framework: characteristics and essential components  

The legal framework in Peru is made up of various laws, regulations and norms that guide both individuals and companies in their actions within the market. Among the most relevant laws for companies are those that regulate taxation, labor contracting, intellectual property, consumer protection, and foreign investment, among others. In particular, tax laws play a fundamental role in business operations, as they determine the tax obligations of companies and the procedures to be followed in order to comply with them.  

Impact of the legal framework on Peruvian companies  

Tax laws, in particular, have a direct impact on business management, as they define tax burdens, payment terms, permitted deductions, and penalties for non-compliance. In this sense, taxation is a key aspect that can affect the profitability of companies and their competitiveness in the market.  

The Peruvian tax system is based on a series of taxes, such as Income Tax (IR), General Sales Tax (IGV), Municipal Promotion Tax (IPM), among others. Companies must comply with these taxes within the established deadlines to avoid fines and sanctions that can seriously affect their financial viability. Likewise, trade and company laws dictate regulations on the incorporation of companies, labor relations, and compliance with environmental regulations, which forces companies to be aware of legislative changes and adapt quickly to new regulations.  

The importance of tax and accounting advice in the business context

Tax lawyers are professionals who specialize in the field of taxation and provide legal assistance in tax matters, helping companies to interpret the law and optimize their tax burden. In this sense, tax lawyers in Lima play a key role, as the Peruvian capital is the country’s business center and is home to most of the companies that operate nationally and internationally.  

Tax advice becomes an essential tool for preventing conflicts with the tax administration and for taking advantage of available tax opportunities. These tax lawyers not only advise on regulatory compliance, but also offer strategies to improve the tax efficiency of companies, which can result in significant savings and greater competitiveness in the market.  

The benefits of accounting and tax services  

Accounting and tax services are essential to ensure that companies comply with tax regulations and keep their accounts in accordance with legal standards. Tax advice in Lima is essential for companies that want to operate without legal problems, as tax accountants in Lima provide a comprehensive service covering tax management, tax planning and the optimization of financial resources.  

Accountants specializing in taxes in Lima are experts in the complexities of the Peruvian tax system and provide accounting and tax advisory services in Lima tailored to the specific needs of each company. In addition, tax auditing is a valuable tool for detecting possible irregularities in a company’s tax management, helping to correct any errors before they become a major problem.  

The need for tax audits  

A tax audit is a detailed review of a company’s tax records carried out by experts in the field. This process makes it possible to verify that the company is properly complying with all its tax obligations and can identify areas where tax compliance can be optimized. In addition, the tax audit helps to ensure that the company is not exposed to penalties or legal problems related to tax evasion.  

The tax audit service is also relevant for companies facing audits by the National Superintendency of Customs and Tax Administration (SUNAT). Having a specialized team of tax lawyers in Lima can make all the difference in resolving tax disputes or reducing the tax burden.  

Why is accounting and tax advice key?  

Accounting and tax advice is essential not only to comply with regulations, but also to guarantee the financial stability of the company. Accounting services allow companies to manage their resources efficiently, while comprehensive tax advice offers strategies to reduce taxes legally and improve profitability.  

Accounting and tax consultancy firms provide a comprehensive approach that allows companies to make informed decisions about their operations, tax strategies and financial projections. This is particularly important in a business environment as dynamic and regulated as the Peruvian one, where changes in tax laws can have a direct impact on companies’ profitability.  

Conclusion  

The Peruvian legal framework, especially with regard to taxation and accounting, has a profound impact on companies. In order to navigate these regulations and minimize legal risks, it is essential to have specialized tax and accounting advice. Tax lawyers in Lima and accountants specializing in taxes in Lima play an essential role in ensuring legal compliance and tax optimization for companies, which contributes to their growth and sustainability in the market.  

If you would like more information on how to comply with tax regulations and improve the efficiency of your company, please contact us by email at contacto@vag-global.com or call us on +511 436 4612.