Tax
Territorial income tax with a solidarity surcharge
Income tax is territorial, administered by the Servicio de Administración de Rentas under the 2016 Código Tributario. Corporate profit bears 25% plus a 5% aportación solidaria on income above a threshold, and there is an alternative minimum tax on gross revenue.
Key rules
- Corporate income tax is 25%, with a 5% solidarity contribution on net income above HNL 1,000,000.
- An alternative minimum tax of 1.5% of gross income applies where revenue exceeds HNL 300 million.
- Sales tax (ISV) is 15%, rising to 18% on alcohol, tobacco and airline tickets.
- Dividends bear a 10% withholding; most payments to non-residents are withheld at 25%.
- Transfer pricing obligations apply to related-party transactions with annual reporting.
Governing law
- Código Tributario (Decreto 170-2016)Assessment, penalties and procedure.
- Ley del Impuesto sobre la RentaIncome tax.
- Ley de Regulación de Precios de Transferencia (Decreto 232-2011)Transfer pricing.
In practice
The minimum tax on gross income can exceed profit-based liability for low-margin businesses, so model both. Electronic invoicing obligations are expanding by taxpayer category, and the SAR issues the authorisation ranges.