Tax form D-101 replaces the D-135 for inactive companies

By: Garland M. Baker B.

Exclusive to A.M. Costa Rica

Editor's Note: While this article was accurate at the time of publication, some information may now be outdated. We are currently preparing a comprehensive update. Sign up for our Alerts to be notified as soon as the revised content is live!

Believe it or not, the Costa Rican government has changed the rules, again!

Expats and anyone else holding property or other assets in an inactive company should pay attention, everything they have heard or read up to now has changed.

Early wake-up call for tax form D-135

By: Garland M. Baker B.

Exclusive to A.M. Costa Rica

Editor's Note: While this article was accurate at the time of publication, some information may now be outdated. We are currently preparing a comprehensive update. Sign up for our Alerts to be notified as soon as the revised content is live!

This is an early wake-up call for all Ticos, expats, and anyone else with an inactive Costa Rican company. The equity tax form D-135 is due March 15. “Equity,” is a fancy name for “net capital” or “net assets.”

Most people who have heard about the D-135 think it is no big deal, and an easy file. It is not. Everyone filing the form will need to put some thought into what goes into the information presented. The tax department is using it to catch tax cheaters.

Here is some background:

Keep company legal books safe

By: Garland M. Baker B.

Exclusive to A.M. Costa Rica

Editor's Note: While this article was accurate at the time of publication, some information may now be outdated. We are currently preparing a comprehensive update. Sign up for our Alerts to be notified as soon as the revised content is live!

All organizational structures in Costa Rica should have company legal books. Sometimes neglectful notaries do not prepare them for clients as they should when they create a company. In other cases, notaries want to keep them for their clients, saying they need them handy to make legal movements as laws change.

The truth is, it really comes down to legal fees. Legal professionals charge handsomely to act as custodian of a company’s books. In this day and age, especially now after the National Registry changed its position on online board meetings, people should keep their own books. There have been cases where unscrupulous notaries have taken advantage of their custodianship to manipulate clients, even embezzling property when someone dies.

Why should people manage their books? Here are some good reasons:

Positive legal and tax news for a change!

By: Garland M. Baker B.

Exclusive to A.M. Costa Rica

Editor's Note: While this article was accurate at the time of publication, some information may now be outdated. We are currently preparing a comprehensive update. Sign up for our Alerts to be notified as soon as the revised content is live!

There have been several changes in the past month that are important to expats and Ticos alike. Three warrant special mention: The new rules for online board meetings, the changes to the fines for not filing the RTBF for 2019, and the introduction of TRAVI by Hacienda (the tax department). The acronym stands for tramites virtuales or virtual procedures.

Don’t miss the RTBF filing deadline. Again!

By: Garland M. Baker B.

Exclusive to A.M. Costa Rica

Editor's Note: While this article was accurate at the time of publication, some information may now be outdated. We are currently preparing a comprehensive update. Sign up for our Alerts to be notified as soon as the revised content is live!

September is almost upon everyone. It is the month the 2020 RTBF is due, again. The same bank-breaking fines are still a reality, so it would be a good idea to take heed and get ready to file the report.

For those who have a selective memory and try to bury tax mandates in the back of their mind, this is the same report that people with a legal entity in Costa Rica had to file back in March.

Here is some background to stimulate the memory neurons.

Death and transferring assets in Costa Rica

By: Garland M. Baker B.

Exclusive to A.M. Costa Rica

Editor's Note: While this article was accurate at the time of publication, some information may now be outdated. We are currently preparing a comprehensive update. Sign up for our Alerts to be notified as soon as the revised content is live!

Expats and Costa Ricans alike are dumping their companies that hold property and other assets because they feel they will save money eventually by putting the asset in an individual's name. Granted, keeping a company costs money, but it is cheap compared to what probate costs when someone dies. Everyone should know the facts about death and transferring assets in Costa Rica.

Many attorneys promote the business of closing companies because to do so is a handsome fee for them. What they do not explain to their clients is probate in Costa Rica is costly, much pricier than keeping a company holding assets up to date.

Here are the facts:

How to have online board meetings

By: Garland M. Baker B.

Exclusive to A.M. Costa Rica

Editor's Note: While this article was accurate at the time of publication, some information may now be outdated. We are currently preparing a comprehensive update. Sign up for our Alerts to be notified as soon as the revised content is live!

Most people with a company and many attorneys who are notaries are unaware most board meetings in Costa Rica can be held online without the need of a physical assembly. This is important news for those needing to introduce changes to their company, to authorize a special power of attorney or to change board members.

Some companies recently were fined a lot of money for not filing their Law 9416 report (also known as the transparency and final beneficiaries register or RTBF for short). They could have avoided the fines if they had had an online meeting, giving someone a special authorization to file the documents with the Central Bank.

Here is some background information:

How to speed up the internet

By: Garland M. Baker B.

Exclusive to A.M. Costa Rica

Editor's Note: While this article was accurate at the time of publication, some information may now be outdated. We are currently preparing a comprehensive update. Sign up for our Alerts to be notified as soon as the revised content is live!

Almost everyone is going stir-crazy at home these days due to the virus. This means more people are on the internet, and many find it slow as snails. If the internet is not up to par, there are some simple things everyone can do to improve their connection, and for braver individuals' internet bonding can make it rock!

SUTEL, the superintendent of communications in Costa Rica, estimates that there has been an increase in usage of at least 50%. Since internet providers like: Kölbi, Cable Tica, and Tigo (to name the top three, there are others) sell internet connections like airlines sell seats — they overbook — it is not a surprise that most of the services are having problems keeping up with demand.

Trying to call a provider is almost impossible. They are swamped with calls, mostly to complain about the lousy service. What is a home bound person to do who needs the internet to stay active, and it seems slow? Here are some simple tips anyone can do to check their connection and speed.

The company owners’ delinquency list is out!

By: Garland M. Baker B.

Exclusive to A.M. Costa Rica

Editor's Note: The foundation of this warning was first published in an article on AMCostaRica.com on April 6, 2020. Given the time-sensitive nature of property laws, this post has been significantly updated for 2025 with the most current information and guidance. Find the new article here:

Important 2020 Deadlines for Expats

By: Garland M. Baker B.

Exclusive to A.M. Costa Rica

Editor's Note: The foundation of this warning was first published in an article on AMCostaRica.com on March 2, 2003. Given the time-sensitive nature of property laws, this post has been significantly updated for 2025 with the most current information and guidance. Find the new article here:

Inactive companies must now file a 2020 tax return

By: Garland M. Baker B.

Exclusive to A.M. Costa Rica

Editor's Note: The foundation of this warning was first published in an article on AMCostaRica.com on January 5, 2020. Given the time-sensitive nature of property laws, this post has been significantly updated for 2025 with the most current information and guidance. Find the new article here: