Accounting in Costa Rica
There are several accounting rules to be respected in Costa Rica. You can contact our Costa Rican accountants for details about them.
Respecting accounting regulations is one of the most important aspects when starting a business in Costa Rica. There are several taxes you must pay no matter if you are a natural person or if you run a company, and one of the most important is the income levy. Below, we explain the taxation system of this country, as well as the services our accountants in Costa Rica can provide you with.
| Quick Facts | |
|---|---|
| Tax registration support (YES/NO) | Yes, we can assist in obtaining a tax identification code for any type of business in Costa Rica. |
VAT registration services (YES/NO) | Yes, we can also assist in voluntary and mandatory VAT registration. |
Payroll and HR assistance (YES/NO) | Yes, these services are part of our portfolio. |
| Audit services availability (YES/NO) | Yes, we can perform various types of audits. |
| Bookkeeping services (YES/NO) | Yes |
| Financial statement filing services (YES/NO) | Yes, we can assist with financial statement filing procedures. |
| Accounting services for foreign companies in Costa Rica | We can assist foreign companies with tax and VAT registration, bookkeeping, and audit services. |
| Accredited accountants availability (YES/NO) | Yes, our accountants are accredited. |
| Personal income tax rate | 0% to 25%, depending on the income bracket of the taxpayer. |
| Corporate tax rate for onshore businesses | 30%; companies with gross income up to CRC 119,174,000 (2026) pay 5% to 20% on net income. |
| Corporate tax rate for offshore businesses | Offshore companies are exempt from the corporate tax as their activities are carried outside of Costa Rica. |
| VAT for offshore companies in Costa Rica | Such companies do not pay the VAT if they do not issue invoices here. |
| Financial year in Costa Rica | The financial year in Costa Rica is the same as the calendar year. |
| Access to tax incentives/deductions (YES/NO) | Yes, tax exemptions are available for micro and small companies, for agricultural producers and offshore entities. |
| Access to double tax treaties (YES/NO) | Costa Rica has double tax treaties with Spain, Germany, Mexico, and the United Arab Emirates. |
Compliance requirements in terms of accounting in Costa Rica
Just like in other countries, Costa Rica’s accounting requirements apply to individuals and companies. They must respect the following regulations:
- register for taxation in order to be able to keep account of their incomes legally;
- register for VAT which mainly applies to companies;
- enroll with various authorities in order to pay various levies, based on their status for people and operations for companies;
- file their tax returns in due time;
- make the payment of the taxes in accordance with the Costa Rican laws.
If you need assistance in any of these matters, our Costa Rican accountants are at your disposal.
Our services also extend to foreigners who come to this country based on Costa Rican residence permits.
Tax registration as part of accounting in Costa Rica
In order to comply with the accounting regulations of Costa Rica an individual or a company must register for taxation. For natural persons, the procedure is quite simple, as they can do that as employees or self-employed/self-occupied people. For foreigners, the rule of tax residency must be respected. This refers to spending at least 183 days in a calendar year to be considered a resident of Costa Rica.
For companies, tax registration is completed at the same time as company incorporation in Costa Rica. Local and foreign-owned businesses will be issued tax identification numbers based on which they can further register for VAT.
Should you need assistance in this matter, you can address our accountants in Costa Rica.
Tax payment requirements in Costa Rica
The most important aspect related to accounting in Costa Rica is that for the 2026 tax period (Decree 45333-H), the income tax applied to individuals and companies is levied at new rates.
From this point of view, companies must consider the following:
- the corporate tax for companies with annual gross income of a maximum CRC 119,174,000 ranges from 5% to 20%, where the 5% rate applies to the first CRC 5,621,000 of net income;
- companies that exceed the CRC 119,174,000 threshold are taxed at 30% on net taxable income;
- sole traders must pay the income tax at rates ranging from 10% to 25%, with the mention that the first CRC 6,244,000 per year (2026) is exempt from taxation;
- salaries are also taxed at rates of 10% to 25%, where monthly income of up to CRC 918,000 (2026) is exempt from imposition.
Apart from these, payroll taxes must also be considered. They apply as follows:
- 26.83% is paid by the employer;
- 10.83% is withheld from employees’ salaries.
Should you need assistance filing tax returns, our specialists are at your service with support in such matters related to accounting in Costa Rica. Here is also an infographic on this subject:
Rely on our trusted accountants in Costa Rica
Our local accountants are at the service of people and companies needing customized accounting services in Costa Rica. Our specialists are accredited by the Costa Rican Association of Certified Public Accountants (Colegio de Contadores Publicos de Costa Rica) which is a member of the International Federation of Accountants (IFAC).
We can provide you with services related to most accounting regulations in Costa Rica, including audit solutions (statutory audits are mandatory only for certain entities, such as supervised financial entities and publicly offered companies).
Feel free to contact us for details about our accounting and company formation and citizenship services in Costa Rica.
Juan Ignacio Guzmán Fernández, Attorney at Law · 2 October 2026