The Solidarity Tax for the Strengthening of Housing Programs falls on the value of real estate used for housing on a regular, occasional or recreational basis, including both fixed and permanent installations. ISO was created with the aim of financing decent housing for those in extreme poverty. ISO is not deductible for income tax purposes.

Who pays this tax?

The ISO is applicable for owners or holders of rights on real estate for housing use, as well as the concessionaires, permittees and occupants of the border strip of the maritime-terrestrial zone, or any other property granted by the State or its institutions in accordance with Law No. 8683 ‘Solidarity Tax for the Strengthening of Housing Programs’. All these must comply with this tax obligation.

What are the requirements?

Taxpayers must first register the property in the Virtual Tax Administration (ATV) portal in the section called “Real Estate-Property Registry”. The registration of farms is omitted if it had previously been done. Next, the form D-179 “Single Form of Registration, Declaration and Payment of Solidarity Tax for the Strengthening of Housing Programs” must be submitted.

When is the tax due?

Form D-179 must be filed every three years by updating the value of the property(s). Filing and payment must be completed no later than 15 January 2022.

Auxadi have tax professionals who can help you with the presentation of the declaration and coordination of the payment D-179, and other tax compliance duties as required by the Tax Administration of the Ministry of Finance.

Do you need more information?

Manrique Blen
Director HUB Costa Rica

Local Knowledge – International Coverage

Founded in 1979, Auxadi is a family-owned business working for multinational corporations, private equity funds and real estate funds. It’s the leading firm in international accounting, tax compliance and payroll services management connecting Europe and the Americas with the rest of the world, offering services in 50 countries. Its client list includes many of the top 100 PERE companies. Headquartered in Madrid, with offices in US and further 22 international subsidiaries, Auxadi serves 1,500+ SPVs across 50 jurisdictions.

All information contained in this publication is up to date on 2021. This content has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this chart without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this content, and, to the extent permitted by law, AUXADI does not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this chart or for any decision based on it.