Overview of IVA (Chile) Supported in Kintsugi

What is IVA?

Chile's primary indirect tax is the Impuesto al Valor Agregado, or IVA, which translates to Value Added Tax. It is administered by Chile's tax authority, the Servicio de Impuestos Internos (SII). Kintsugi supports IVA compliance for businesses operating in or selling into Chile.

What Does Kintsugi Support for Chile?

Kintsugi helps you manage your IVA obligations in Chile, including nexus determination, taxability assessments, registration tracking, and return filing. Whether you are a domestic Chilean business or a foreign company selling into Chile, Kintsugi is designed to keep your IVA compliance on track.

Key Facts About Chile IVA

The standard IVA rate is 19%, applied to most sales of goods, services, and imports. Chile does not have reduced IVA rates, though certain transactions are exempt, including exports of goods, freight services, real estate, education, and the admission fees for sporting and cultural events. Additional taxes ranging from 15% to 50% may apply to specific goods such as jewelry.

Is IVA the Same as U.S. Sales Tax?

Not exactly. IVA is a value-added tax applied at each stage of the production and distribution chain, not just at the point of final sale. However, from a compliance standpoint, the obligations are similar: businesses must register, collect, report, and remit IVA to the SII. Kintsugi handles this complexity for you.

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