This article was written by members of the Tax Department of Torres, Plaz & Araujo
On October 8, 2002, Resolution No. 091 dated August 27, 2002, was published in Official Gazette No. 37.544, providing that, for the purpose of exoneration from Income Tax, any individual or any legal entity engaged in agriculture, forestry, cattle, poultry, fishing, aquiculture and fish breeding activities at a primary level must file a Sworn Statement of the amounts of their investment with the State Unit of the Ministry of Agriculture and Land for the domicile of the taxpayer, The Resolution is effective from the actual date of its publication.
Such sworn Statement must be prepared using the form designed for such purpose by the Ministry of Agriculture and Land and must be accompanied by the documents specified in the Resolution. Sworn Statements presented by taxpayers but failing to include all requisite documentation will not be processed.
A taxpayer’s request for exoneration will be processed by the Ministry of Agriculture and Land using a file to be opened and kept in chronological order. Such administrative agency shall be responsible for notifying the Tax Administration of the request made by taxpayers.
Additionally, the Resolution in question establishes that the Farm certificate issued by the National Lands Institute shall be mandatory as of January 1, 2003.
The content of this article does not constitute legal advice and should not be relied on in that way. Specific advice should be sought about your specific circumstances.