ANNOUNCEMENT 28 Jan 2013

In January 2013, the government of Venezuela announced a change to the import-specific domestic duties.

NUMBER OF INTERVENTIONS

1

  • 0 harmful
  • 0 neutral
  • 1 liberalising

SOURCE



Bloomberg, 28 January 2013: http://www.bloomberg.com/news/2013-01-28/venezuela-to-pump-more-dollars-into-economy-cut-tax-on-oil-1-.html

EY Tax Alert of 18 March 2013: tmagazine.ey.com/wp-content/uploads/2013/05/2013G_CM3273_Venezuelan-reform-to-Hydrocarbons-Law-increases-threshold-of-contribution.pdf

Ley de Reforma Parcial del Decreto no. 8.807, published in Official Gazette no. 40.114 of 20 February 2013 (in Spanish): http://www.tsj.gov.ve/gaceta/febrero/2022013/2022013-3644.pdf#page=2


Inception date: 20 Feb 2013 | Removal date: open ended
Still in force

Internal taxation of imports

On 28 January 2013, the government announced that it plans to reduce levies on the oil industry by changing rules on the so-called windfall tax that will now only be triggered when crude and its derivatives trade above USD 80 a barrel, instead of USD 70 a barrel. The purpose of this change is to channel foreign currency from a domestic development fund to the Venezuelan Central Bank in order to provide currency for additional imports.
 
The windfall oil price tax establishes a special contribution which is payable by companies exporting certain hydrocarbons including liquid hydrocarbons, both natural and upgraded, and their derivatives. The tax revenues are than collected in a domestic development fund.
 
The measure was effective on 20 February 2013 with the publication of the according law in the Official Gazette.

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AFFECTED PRODUCTS