ESTABLISHES DEDUCTION OF MORTGAGE DIVIDENDS FROM TAXABLE INCOME TAX BASE AFFECTING NATURAL PERSONS Having present that the H. National Congress has |! |given its approval to the following P r o y e c t o d e l e y: " Article 1.-Taxpayers of the taxes set out in Articles 43º, number 1, and 52º, of the Law on Income Tax, contained in article 1 of Decree Law No. 824 of 1974, may |! |! |respective, the fees you pay in the commercial year |! |corresponding, for the obligations with warranty |! |mortgage they have contracted with banks e |! |financial institutions and administrators agents of |! |endurable mortgage loans referred to in the |! |article 21a of the decree with law force No. 251, |! |of 1931, operating in the country, In the acquisition of |! |a new housing host to the rules of decree |! |with force of law No. 2, of 1959, that it is constituted |! |in mortgage guarantee of those obligations. New housing will be understood, for the purposes |! |of this law, that which is acquired for the first time |! |to be used. For the origin of the benefit established in the |! |first indent, the housing acquirer must |! |record, in the respective deed, that it is |! |hosts such benefit. This deduction will also proceed with respect to the |! |fees that are paid in compliance with obligations with |! |mortgage guarantee, which would have been incurred for |! |pay credits received for the benefit established in this |! |article and provided that the documents that account for the |! |new credit are exempt from the Tax of Timbers and |! | Stampillas established in decree law No. 3,475, of |! | 1980. Article 2.-The deduction referred to in the article |! | 1st may not be greater than ten, six, or three units |! |monthly taxes of December of each year, |! |multiplied by the number of quotas, which may not be |! |higher than twelve in the year, except This is a fee of up to twelve months, with which you are |! |paid the debt in the corresponding financial year, as if |! |the mortgage obligation was contracted between the 22 of |! |June and December 31 of the year 1999, January 1 |! |y on September 30, 2000, or October 1 of the |! |year 2000 and June 30, 2001, respectively, |! |including both dates in each case. For the case of |! |the acquirers through the cooperative system of |! |housing, it may be understood that the obligation is contracted |! |on the date when the cooperative subscribes the writing |! |of mutual mortgage of construction, provided that the |! |acquirer has the quality of cooperation to date |! |subscription of the mutual by the cooperative. Article 3.-Taxpayers of the tax established in Article 52º of the Law on Income Tax shall make the deduction referred to in the preceding articles of the overall gross income of the commercial year in which the their obligations, the readjustability provided for in the final paragraph of Article 55 of that law. The tax payers established in Article 43º, No. 1, of the Law on Income Tax, to benefit from the benefit established in this law, must carry out an annual relief of the taxes withheld during the year, by deducting from the total of their taxable income the amounts corresponding to the mortgage obligations paid in the same period. The reliquidar will have to apply the scale of the fees resulting from annual values according to the tax unit in force at 31 December, and the credits and other elements of calculation of the tax. The taxable income shall be adjusted in accordance with the provisions of the penultimate paragraph of Article 54º of the said law. The taxes withheld under article 75 of the same law, as well as the differences that result in the taxpayer's favor, will be returned in the form provided for in Article 97 of the said legal body. The declaration to be submitted shall also be subject to the annual declarations required by the law concerned. Article 4.-The taxpayers covered by law No 19.281 may be eligible for the provisions of this law, for the contributions corresponding to the lease agreements with a promise to purchase new homes, excluding the subsidies that are have paid. The right of deduction shall be made effective from the month in which the contract of promise of sale is concluded, as provided for in Article 26 of that law, and shall be subject, in any case, to the rules laid down in the Articles previous. Article 5.-For the purposes of the deduction referred to in the two preceding articles, the mortgage obligations and the contributions, as appropriate, shall be adjusted in accordance with the provisions of Article 75 of the Law on Tax Income, from the month preceding the month in which the payment was made or the respective contribution. Article 6.-The Internal Revenue Service will determine the form and opportunity in which banks, financial institutions, and companies or persons involved in financing or the acquisition of housing, will be required to provide the information relating to claims, accounts and other records that relate to the right to the benefit set out in this law for the purposes of the audit concerned. Transitional Article.-Taxpayers who hold public contracts of sale, mutual or lease agreements with a promise of sale as referred to in Article 4, between 22 June 1999 and the date of publication of the sale law, and that they wish to avail themselves of the benefit that is regulated, will comply with the obligation referred to in the third paragraph of article 1 presenting, before the Internal Revenue Service, an affidavit in such sense, in the form and time that this body determines. '; And because I have had to approve and sanction it; therefore, promulgate and take effect as the Law of the Republic. Santiago, July 27, 1999.-EDUARDO FREI RUIZ-TAGLE, President of the Republic.-Sergio Henriquez Díaz, Minister of Housing and Urbanism.-Eduardo Aninat Ureta, Minister of Finance. What I transcribe to you for your knowledge.-Sergio González Tapia, Undersecretary of Housing and Urbanism (S).