Chile extends 19% VAT to all remote services supplied by non-resident providers

What changed in detail

Ley N° 21.713 (Ley de Cumplimiento de Obligaciones Tributarias) was published in the Diario Oficial on 24 October 2024 (Núm. 43.982-B). Its article 3 amends the Ley sobre Impuesto a las Ventas y Servicios (Decreto Ley N° 825).

Since Ley 21.210 of 2020, IVA at 19% had applied to services supplied remotely by non-residents only in the four categories listed in article 8 letter n) of DL 825: intermediation, digital entertainment content, software, storage and computing infrastructure, and advertising. Ley 21.713:

• removes that limitation from article 5 of DL 825, so the rule covers any service provided remotely by a person with no domicile or residence in Chile and used in Chile;
• rewrites article 35 A so that all non-resident providers of such services, and of remote sales, to non-IVA contributors fall within the simplified regime of Párrafo 7° bis;
• widens article 35 I to refer to the whole of the IVA law.

The law’s transitional article on IVA gives these changes no special date, so they take effect under its general commencement rule on the first day of the month after publication, 1 November 2024. The SII’s guidance on digital IVA states that the law extended the 19% tax to all services provided remotely by non-residents.

What it means

The extension is in force and has not been reversed. The practical change for foreign providers was that the category test fell away: a consultancy, education platform or other remote service sold to Chilean consumers became taxable even if it did not fit any of the four 2020 categories.

The SII put the administrative side in place in the following weeks: Resolución Ex. SII N° 105 (registration, from 1 November 2024) and Resolución Ex. SII N° 107 (filing and payment on form F129, from 1 December 2024). The same law’s goods and platform provisions followed a year later, in October 2025.