Auxadi Ecuador

Ecuador has one of Latin America’s lowest rates of income tax and hosts an investment-friendly environment including incentives like allowing deductions for generating employment in certain locations. The Ecuadorian Constitution provides a level playing field for domestic and foreign investors, outlining investor rights, and listing freedom of production and marketing, and Ecuador adopted the U.S. dollar as official currency in 2001.

Situated on the Pacific Ocean, the country has developed an expansive port structure, with seven state ports and ten private docks on its western border. It has also made a series of reforms to attract investment, with opportunities available in mining, oil and gas, agribusiness, and public-private infrastructure industries.

The country’s tax, legal and regulatory regimes are complex and face frequent changes as the government updates and revises its frameworks. Though these may present challenges, Ecuador offers many advantages to entrepreneurs and multinationals looking to begin commercial operations on its shores.

Make an enquiry

Ecuador

Ecuador has one of Latin America’s lowest rates of income tax and hosts an investment-friendly environment including incentives like allowing deductions for generating employment in certain locations. The Ecuadorian Constitution provides a level playing field for domestic and foreign investors, outlining investor rights, and listing freedom of production and marketing, and Ecuador adopted the U.S. dollar as official currency in 2001.

Situated on the Pacific Ocean, the country has developed an expansive port structure, with seven state ports and ten private docks on its western border. It has also made a series of reforms to attract investment, with opportunities available in mining, oil and gas, agribusiness, and public-private infrastructure industries.

The country’s tax, legal and regulatory regimes are complex and face frequent changes as the government updates and revises its frameworks. Though these may present challenges, Ecuador offers many advantages to entrepreneurs and multinationals looking to begin commercial operations on its shores.

Make an enquiry

Why Auxadi is trusted as an expert outsourcing provider in Ecuador

Auxadi is your ideal partner in Ecuador, offering a complete and complementary range of outsourced services, all aligned to help make your life easier.

Incorporating in Ecuador can take up to 49 days, and entities established by foreign investors must appoint a local legal representative. This representative is responsible for carrying out all legal proceedings, tax acts, and any other necessary legal procedures. There are specific rules for powers given to foreign employees.

Through a single-point-of-contact delivery model and our leading MySPV technology platform, we offer an unrivalled solution that can help you grow your business.

Latest news from Ecuador

See all news

International Accounting, Tax and Payroll in 50 countries

Corporations

We can help you with your international expansion and we serve more than 600 clients across many different sections. We become an extension of your finance departments abroad and you can access the accounting information of all your international subsidiaries through a single portal, customised to meet your needs.

Learn more
accounting outsourcing, payroll outsourcing services

Funds

With nearly $7 billion of assets under management, we can take of the corporate management and SPV administration of your investment structures. Whether you’re creating a holding structure in Luxembourg or setting up a SPV in Europe and Latin America, we offer accounting, reporting, tax compliance and directorship solutions to help make your life easier.

Learn more
global payroll providers, corporate accounting, setting up a spv

Our services

Tax Specialists

The Ecuadorian tax regime requires monthly and annual tax declarations at both federal and municipal levels. Though there are only eight tax payments due each year, processing and administration can take around 650 hours per annum.

Ecuador’s corporation tax varies based on the company’s corporate structure, but ranges from 22-28%. VAT is fixed at 12%.

While Ecuador is not a member of the OECD, it applies OECD transfer pricing guidelines and parameters. A 5% tax rate is applied to all transactions abroad, withheld by financial institutions during the payment process.

We’re experts in international taxation and our tax team in Ecuador can take care of intricate local taxation rules, using our purpose built automation technology, so you and your operations remain tax compliant.

  • Tax compliance – covering multinational, federal, state, and municipal taxes
  • Official Books and Annual Accounts
  • Assistance with tax inspections and audits
  • Tax reviews and claims
Find out more

Accounting Specialists

Though Ecuador uses the U.S. dollar and IFRS accounting standards, all companies operating in the country must have an authorised public accountant. This authorised accountant will also sign all accounts in tandem with the appointed local legal representative.

All companies with over $500,000 in assets are required to undertake an external audit.

We help global corporations and fund managers with all their corporate accounting requirements. Using our bespoke and best-in-class technology platform, MySPV, you can have full and real time access and control of your accounting data, across multiple countries and multiple currencies.

Our accounting experts in Ecuador can help manage:

  • Accounting and bookkeeping
  • Management accounting
  • Statutory accounting
  • Official Books and Annual Accounts
  • Cash management (including payments)
  • Reporting
  • Consolidation of finanical statements
  • Bank account tracking
  • Treasury and cash flow forecasts
  • Audit assistance
Find out more

Payroll Specialists

Ecuador ́s Labour Practices and Policies is what’s referred to for regulations regarding relations in the country. The code outlines local social security system (Instituto Ecuatoriano de Seguridad Social-IESS) obligations, regulations regarding the private pension system, social benefits, guidelines for various holiday bonuses due to employees, minimum wage compensation

Both employees and employers contribute to Social Security each month in Ecuador, with the employees paying 9.45% and an employer’s contribution of 12.15%. An additional amount of 8.33% is required after the second year of employment, intended to serve as an allowance in case of dismissal.

Our experienced and knowledgeable team of payroll specialists in Ecuador can help you with seamless management of your corporate payroll function.

Find out more

Monitor and manage your international subsidiaries with our MultiCountry online platform

Access our online platform that provides you with a global and harmonized view of the accounting of your international subsidiaries, with drill down functionality to check support documentation, such as: invoices, outstanding creditors, approve payment orders, manage the payroll processing cycle and so much more. Request a demo to see how our technology can help you.

REQUEST A DEMO NOW
MySPV - Accounting tech for multicountry visibility

Get access to Auxadi corporate materials and technical guides to know more about us.

Download

Country File

Download

Latam: opportunities for Renewable Energy

Presentacion Corporativa Auxadi
Download

Brochure Corporations

Download

Brochure Real Estate

Meet the team

Gustavo Verdezoto

Gustavo Verdezoto
Country Manager Ecuador

Claudia Nunes

Claudia Nunes
Director International Corporations

Auxadi in Ecuador

Av. República del Salvador 406 y Moscú, esquina,
Edificio IMPAQTO, oficina 102
Quito

Tel: +593 2 244 4983

Count on our professional and extensive experience in the Ecuadorian market, for your investments in Ecuador and elsewhere in Europe, the United States and Latin America.

Get in touch with our team in Ecuador to find out how we can help your accounting, tax and payroll needs