Transactions made through platforms such as Zelle, PayPal, Reserve and other similar ones must pay the Tax on Large Financial Transactions (IGTF), according to the National Integrated Tax and Customs Administration Service (Seniat).
In a document signed by Carlos Ernesto Padrón Rocca, general manager of Seniat Legal Services, which was released in social mediathe entity argued that “number 6 of article 3 of the IGTF Law establishes that the event that generates the tax is the cancellation of debts made without the mediation of the financial system, by payment or other means of extinction, carried out by taxpayers of the tax”.
This means that people who cancel debts through payment gateways such as Zelle, PayPal, Reserve and other similar ones will be taxed by the IGTF, since these transactions are made without the mediation of the national financial system.
The clarification arose due to a direct consultation made by Edwuard Rafael Sucre Guzmán, inspection manager of the tax authority, in order to resolve one of the most common doubts about the new tax, which imposes a 3% tax on payments with currency. foreign currency and crypto assets other than the petro.
More clarifications regarding the disturbing and poorly conceived reform of the Large Financial Transactions Tax Law. Now neither PayPal nor Zelle will leave people alone.
Delicate are these tax issues on people’s lives. They play with candles. https://t.co/Ac0zbXiWnp
– Leonardo Vera (@LeonardoVera60) April 3, 2022
Key points about the law
The reform to the Tax Law on Large Financial Transactions, approved on Thursday, February 3 in the second discussion by the National Assembly of 2020, entered into force on Monday, March 28.
Experts in economic matters have pointed out that this measure has a negative impact not only for companies, but also for natural persons.
The norm establishes the collection of taxes from 0 to 2% for almost all transactions with bolivars, as well as from 2 to 8% for those carried out within the banking system in currencies or cryptocurrencies that are not issued by the Central Bank of Venezuela.
Transactions in currencies or cryptocurrencies not issued by the Central Bank of Venezuela without the mediation of financial institutions must cancel from 2 to 20%.
