- Ecuadorian President Daniel Noboa enacted Executive Decree No 542 on February 24 2025
- Decree temporarily lowers Value Added Tax rate to 8 percent for tourism related services during Carnival holiday period from March 1 to March 4 2025
- VAT reduction applies to accommodations food and beverage offerings transportation travel agency operations and event organization
- Businesses providing these services must apply the reduced VAT rate and issue sales receipts reflecting this adjustment
- Internal Revenue Service is responsible for enforcing the decree
- Measure aligns with government efforts to revitalize the tourism industry and support related economic activities during key holiday periods
- Ecuador previously announced a temporary VAT reduction on tourism related services lowering the rate from 15 percent to 8 percent from November 1 to November 4 2024
Source: regfollower.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
