Ecuador enacts new regulations on Income Tax, including lower income tax rates for new investments

Through Presidential Decree enacted on 10 November 2022, a reform to Law regulations determines how to apply the lower income tax rates as a benefit for new investments and companies signing an Investment Agreement with the Ecuadorian Government.

In addition, there are new conditions for asset depreciation and the deductibility limit for income tax purposes on royalties, technical services, as well as administrative and advisory services with related parties.