Approves the Regulations of Law No. 32434—the law that promotes the productive, competitive, and sustainable transformation of Peru’s agricultural sector, with social protection toward modern agriculture—for tax purposes.
This regulation implements Law No. 32434, which establishes a special tax regime for Peru’s agricultural sector in connection with Income Tax, Value Added Tax (VAT/IGV), and the simplified tariff drawback regime (drawback).
The regulation sets out the access conditions, requirements, and limits applicable to both small agricultural producers and agricultural companies.
For Income Tax purposes, small agricultural producers remain subject to a progressive scheme based on annual net income: up to 30 UIT they are not subject to Income Tax; on the excess, they pay a final monthly rate of 1.5% applied to their monthly net income; and if they exceed 150 UIT, they must move to the regime set forth in Article 12 of the Law (which provides for a 15% rate for 2026–2035 and 29.5% from 2036 onward). The Regulations also govern the withholding system applicable to associative forms or agricultural companies, among other matters.
With respect to VAT (IGV), the Regulations develop the tax refund (reintegro tributario) available to taxpayers that produce and sell exempt agricultural goods included in Appendix I of the Consolidated Text (TUO) of the IGV Law. This benefit allows taxpayers to recover VAT paid on purchases and imports directly linked to production, provided that certain formal and substantive requirements are met, including: having an active RUC and a verified tax domicile (domicilio habido); not being classified as a taxpayer without operational capacity; submitting a technical-legal report issued by MIDAGRI evidencing the productive linkage; and not having treated the VAT as a cost or expense for Income Tax purposes. The minimum amount to request the refund is equivalent to 25% of one UIT, and the refund must be processed within 30 business days.
In addition, the Regulations govern the exceptional enrollment in the VAT (IGV) exemption and set out specific rules for access to the simplified tariff drawback benefit (drawback) when exports are carried out through agricultural cooperatives or business collaboration agreements without separate accounting.
This regulation enters into force on the day following its publication, except for the provisions relating to drawback, which will take effect 180 business days thereafter.
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