Peru tax authority (SUNAT) has published the third version of its catalogue of high tax risk schemes that could be challenged under the country’s General Anti-Avoidance Rule (GAAR). This updated list includes 11 new high-risk schemes, bringing the total number of schemes to 24.
Key Points
- First Version: The Peruvian Tax Administration (SUNAT) released the first version of its list of high-risk tax planning schemes on 5 February 2020, under the General Anti-Avoidance Rule (GAAR). This list identifies five specific schemes: the deduction of royalties for the assignment in use of a brand, the disposal of a Peruvian company through autonomous equity, the sale of shares coupled with a change of address to a country with a double taxation avoidance agreement, the transfer of trademarks and the capitalisation of credits, and management contracts. These schemes are flagged for their potential to be used for tax avoidance, highlighting SUNAT’s efforts to enhance tax compliance and curb aggressive tax planning practices in Peru.
- Second Version: SUNAT published the second version of its high-risk tax planning schemes on 11 October 2022 under GAAR, including thirteen schemes: deduction of royalties for brand use, disposal of companies through autonomous estates, redomicile of companies using Double Tax Agreements, transfer of trademarks and credit capitalisation, management contracts, hidden payments in extractive industry concessions, sale and repurchase of vehicles under annulment guise, concealed disposal of shares, benefits transfer to preferential tax regimes, loans disguised as financial leases, mineral sales via companies without substance, disguised income distribution from non-profits, and real estate transfers followed by leasing back to the company.
- Third Version: the new high-risk schemes published in July 2024, identified by SUNAT include the transfer of property under a split-off scheme and the contribution of an asset block, disguised loans generating interest at market value, and international leasing through a company without economic substance. The updated catalogue also addresses the disposal of shares appearing to be carried out through a stock market, VAT exemptions for book sales, and the transfer of dividends through EU member jurisdictions. It further highlights the indirect transfer of intangible assets, external credit operations between related parties disguised with a foreign banking entity, and the transfer of R&D functions to a foreign subsidiary for exploiting intangibles. Additionally, it covers the functional analysis of commission agents versus distributors and the recharacterisation of import and distribution operations of goods as services.
