The Peruvian Executive proposed to the Congress on 18 July 2014 ‘Bill 3627-2013-PE’ which would introduce a number of tax changes to promote private investment. The bill would create new procedures for consolidation of land used in investment projects and for road infrastructure projects.
The bill has suspended the calculation of interest in appeal procedures carried out before the Tax Court and the suspension period would start from the filing date of the appeal with the Tax Court and would run until the Tax Court gives rulings on the appeal. According to the bill the rate of interest for late payment of tax debts relating to tax years 1998 through 2005 would be reduced. The bill also modifies the requirements for the subscription of the Tax Stability Agreements properly signed under the General Mining Law.
The application for the Peruvian General Anti Avoidance Rule(GAAR) for transactions before 19 July 2012 has been suspended by the bill. Peruvian GAAR will likely be applicable for transactions carried out since 19 July 2012.
