Costa Rica’s Tax Authority publishes income tax brackets for tax year 2023

Local contact

EY Global

6 Jan 2023
Subject Tax Alert
Categories Corporate Tax
Jurisdictions Costa Rica
  • The new brackets are for corporate income, income from profitable activities and the salary tax. The brackets went into effect on 1 January 2023.

On 23 December 2022, Costa Rica’s Tax Authority published Executive Decree No. 43852-H, which contains the income tax brackets applicable for tax year 2023.

The following corporate income tax rates will apply to the income of companies with annual gross income of CRC122,145,000 (US$204,611)1 or below:

Amount of income Rate
Up to CRC5,761,000 (US$9,650) 5%
Above CRC5,761,000 to CRC8,643,000 (US$9,650 to US$14,478) 10%
Above CRC8,643,000 to CRC11,524,000 (US$14,478 to US$19,304) 15%
Above CRC11,524,000 (US$19,304) 20%

For companies with an annual gross income that exceeds CRC122,145,000 (US$204,611), the applicable corporate income tax rate will be 30%.

The following income tax rates will apply to the income obtained by individuals from profitable activities:

Amount of income Rate
Up to CRC4,181,000 (US$7,003) Exempt
Above CRC4,181,000 to CRC6,244,000 (US$7,003 to US$10,459) 10%
Above CRC6,244,000 to CRC10,414,000 (US$10,459 to US$17,445) 15%
Above CRC10,414,000 to CRC20,872,000 (US$17,445 to US$34,963) 20%
Above CRC20,872,000 (US$34,963) 25%

The following salary tax rates will apply for tax year 2022:

Amount of income Rate
Up to CRC941,000 (US$1,576) Exempt
Above CRC941,000 to CRC1,381,000 (US$1,576 to US$2,313) 10%
Above CRC1,381,000 to CRC2,423,000 (US$2,313 to US$4,058) 15%
Above CRC2,423,000 to CRC4,845,000 (US$4,058 to US$8,116) 20%
Above CRC4,845,000 (US$8,116) 25%

The new tax brackets became effective on 1 January 2023.


For additional information with respect to this Alert, please contact the following:

Ernst & Young, S.A., San José, Costa Rica
  • Rafael Sayagués
  • Randall Oquendo
  • Daniel Quesada
Ernst & Young LLP (United States), Latin American Business Center, New York
  • Lucas Moreno
  • Ana Mingramm
  • Pablo Wejcman
  • Enrique Perez Grovas
Ernst & Young LLP (United Kingdom), Latin American Business Center, London
  • Lourdes Libreros
Ernst & Young Tax Co., Latin American Business Center, Japan & Asia Pacific
  • Raul Moreno, Tokyo
  • Luis Coronado, Singapore

For a full listing of contacts and email addresses, please click on the Tax News Update: Global Edition (GTNU) version of this Alert.