On December 30, 2025, the National Government announced, as a special measure to boost domestic tourism, that during the New Year holiday, the general VAT rate will be reduced from 15% to 8% for all services classified as tourism-related activities, in accordance with Article 5 of the Tourism Law. This provision will be in force only on Thursday, January 1; Friday, January 2; Saturday, January 3; and Sunday, January 4, 2026.

Article 5 of the Tourism Law considers as tourism-related activities those carried out by individuals or legal entities engaged in the paid provision of one or more of the following:

1. Accommodation;
2. Food, beverages, and entertainment;
3. Travel agency services;
4. Tourist transportation;
5. Organizers of events, congresses and conventions, meetings, incentives, conferences, fairs and exhibitions;
6. Convention centers, reception halls, and banquet halls;
7. Tour guiding services;
8. Community tourism centers;
9. Theme parks and permanent attractions; and,
10. Spas, hot springs, and tourist recreation centers.
    
    

This is a summary of the cited Resolutions. It contains information we have deemed relevant and does not necessarily reflect the opinion of Robalino®; therefore, it may not be considered as legal advice.

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