🇨🇱 Taxes in Chile · Rates and residency
Taxes in Chile
A progressive personal income tax, a moderate corporate rate and clear rules for foreigners in their first years in the country.
Chile taxes residents on their worldwide income, but foreigners get a transition period: for the first three years they pay tax only on income earned in Chile.
Who becomes a tax resident
You become a resident for tax purposes if you spend six consecutive months in Chile within one calendar year, or more than six consecutive months across two consecutive calendar years.
Transition period for foreigners
Foreigners working in Chile pay tax only on Chilean-source income for the first three years. After that, worldwide income is taxed on the progressive scale.
On a free consultation we will go through your situation and work out how much tax you would pay in Chile.
Main tax rates in Chile
Progressive personal income tax
The rate on personal income runs from 0 to 40%. The final amount depends on the size of the income.
Corporate income tax
Companies pay corporate income tax at 25%.
VAT of 19%
The standard rate of value added tax in Chile is 19%.
Property and inheritance tax
Non-residential property - 1.2-1.4%, agricultural - 1%, residential - 0.98%. Inheritance tax runs from 1 to 25%.
FAQ
When does a foreigner become a tax resident of Chile?
Is a foreigner's income from abroad taxed?
What is the VAT rate in Chile?
How much corporate income tax does a company in Chile pay?
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