1
LEGISLATIVE DECREE No. 258 INDEX
THE LEGISLATURE OF THE REPUBLIC OF EL SALVADOR, CONSIDERING
:
I.- according to the provisions of Article 133 No. 4, 203 paragraph 1,. and 204, paragraph 6 of the Constitution of the Republic of El Salvador and Art. 2 of the General tax Law Municipal, bases or general principles sit for municipalities to exercise their initiative Law, preparing your tax rate and propose them as law to the Legislature.
II.- That according to the General Tax Law, Municipal Taxes should be based on the economic capacity of taxpayers and the principles of generality, equality, fair distribution of the tax burden and not confiscation.
III.- That the current General Rate of Excise Taxes Municipal San Luis Talpa, contains tributes that no longer meet the current needs of the municipality, so it is desirable to issue a new Municipal Tax Act.
IV.- That is convenient to the interests of the municipality of San Luis Talpa, La Paz, enact a new Law on Municipal Taxes to update the current tax rate in order to get a better revenue from the application of the Act, for the benefit of its citizens and contributing to local development.
THEREFORE,
in exercise of its constitutional powers and initiative of the Municipal Council of San Luis Talpa, La Paz. DECREES
:
THIS TAX LAW ECONOMIC ACTIVITY IN THE MUNICIPALITY OF SAN LUIS TALPA, DEPARTMENT OF PEACE TITLE I GENERAL PROVISIONS
CHAPTER ONE Purpose of the Law || | Art. 1. This Act is to establish the regulatory framework and legal procedures required the municipality to exercise and develop their powers of taxation, of
2
LEGISLATIVE INDEX
accordance with Article 204 ordinal 1 and 6 of the Constitution of the Republic and Art. 1 and 2 of the Municipal Tax Code.
Powers of Art City Council. 2. For the best implementation of this Act, shall be observed as appropriate, all those laws that are applicable, the City Council is empowered also to reform taxes and to issue additional regulations as may be necessary to clarify any situation not provided, provided that the purpose of these should aim to facilitate the implementation of that law.
Municipal taxes Art. 3. Are municipal taxes, the taxes levied by municipalities without any individualized consideration.
Active subject of tax liability
Art. 4. - It will be an active subject of the municipal tax liability, the Municipality of San Luis Talpa, in its capacity as creditor of the respective tax. Taxpayer
of
Tax Liability Art. 5. shall be liable municipal tax liability established under this law, natural or legal person performing any gainful economic activity in the municipality, and according to this Law is obliged to comply with cash benefits either as taxpayer or responsible.
For the purposes of the application of this law taxpayers communities of goods, estates, trusts, societies and indeed other groups or entities heritages that even when under common law without legal personality are also considered, whatever rotation or specialty, as well as real estate in the municipality are credited as subjects of rights and obligations.
Also considered taxable persons in accordance with this Law, autonomous institutions, including the Executive Hydroelectric Commission of the Lempa (CEL), the Autonomous Executive Port Commission (CEPA) even if its organic or special laws stipulate that for purchase obligations by other law must be specifically named or even if its creation laws or decrees determine that they are exempt from municipal taxes; decentralized entities, municipal service providers and other industrial activities engaged in commercial, financial and services in the municipality, with the exception of social security. Taxpayer
Art. 6. It is understood by the taxpayer, the taxpayer for which the event giving rise to the tax liability is verified.
3
Responsible
LEGISLATIVE INDEX Art. 7. It is understood by responsible, who without taxpayer, by express mandate of the Act must comply with his obligations.
Municipal Tax Period
Art. 8. For the purposes of payment of the taxes imposed, it is understood that the tax period or fiscal year starts on January 1 and ends on December 31, except for those activities that their period is classified as special and certain by the law.
TITLE II OF TAX OBLIGATION
CHAPTER I TAXABLE EVENT, THE ECONOMIC ACTIVITY AND TAXABLE INCOME Taxable Event
Art. 9. any economic activity carried out in the municipality, regardless of the respective acts conventions or contracts that generate has been perfected out of it is established as the operative event; which is generated in the municipality, or one whose purpose or essential part give or provide it; as well as owning assets within the municipality, of which economic benefits are obtained.
It is considered that the operative event occurs in the municipality of San Luis Talpa.
A) From the moment that the circumstances have been made and constituent elements thereof, laid down in this Act
b) when you have made the last of these as the marketing of a product regardless if production or manufacture thereof it be done in another municipality.
C) is also considered as a taxable event when performed in the territory of the municipality of San Luis Talpa activities are performed, services rendered or goods subject to the tax of this Act are residing, regardless such is the domicile of the taxpayer.
D) When marketing products, supplies, materials or any other type or similar transport trucks within the territorial jurisdiction of the municipality of San Luis Talpa is made.
E) Keep running cooling chambers of any size or capacity and by loan contracts, leasing or other legal nature Similarly, instalaren within the territorial jurisdiction of the municipality of San Luis Talpa, with
4
LEGISLATIVE INDEX
goal of selling frozen product, cold, controlled or maintained at a certain temperature.
F) Keep running electrical and electronic equipment, in slot machines and other similar work by ticket, token or coin deposits.
For purposes of the preceding paragraphs, the taxpayer will be required to submit all formal legal, accounting and financial documentation as appropriate, of all assets or products sold in the municipality of San Luis Talpa.
ACTIVITY Art. 10. It will be understood as an economic activity inter alia the following:
AGRICULTURAL SECTOR Agricultural activities are all avian agricultural production, bovine, porcine, apiary and resulting in raw products, semi-processed and processed products , covering among others the following:
Agriculture Livestock Breeding Poultry Beekeeping Cunicultura other species of animals for ordinary trade hunting and trapping repopulation of game animals Forestry, logging and related services Fish farming other agricultural activities.
INDUSTRIAL SECTOR Industrial activities are those engaged in the extraction or production of raw materials or processing of these semi finished or finished products, including handicraft production and the following: Removing
non-metallic and metal ores
food products, beverages and snuff except beverages Textiles, clothing and leather industries of wood, cork and paper Manufacture of non-metallic chemicals Manufacture of mineral products Manufacture of metal ores
5
LEGISLATIVE INDEX
Manufacture of machinery, equipment, accessories and supplies Manufacture of transport equipment Water supply Construction equipment rental Construction machinery and other manufactures. COMMERCIAL SECTOR
Business activities are engaged in the purchase and sale of goods, and all kinds of movable and immovable property, including among others:
trade goods wholesale and retail Storage and deposit telecommunication service, mail, shipping, telephony and telegraphy, television services (including cable TV), broadcasting and transmission Refills data telephone service in magnetic or digital media and Real cards and roots Other commercial activities.
SERVICES SECTOR
The service sector includes all activities and onerous operations providing professional, technical, logistics, land transport, air transport and maritime transport, but which do not involve the production or trading of goods and merchandise, which means among other the following activities:
professional services Repair, maintenance and facilities Holiday chattels real estate leasing warehouse and storage services Hotels Restaurants Transport services focusing primarily on companies Other services
fINANCIAL SECTOR the financial sector includes all activities of the institutions of the National Financial System and Abroad, the stock market and securities brokers, natural or legal persons engaged in raising funds for savings, investment and credit, foreign exchange, insurance, surety , pawnshops and pawnshops. All the above mentioned shall be authorized by the Superintendency of the Financial System.
6
LEGISLATIVE INDEX
Institutions Banks credit unions credit union Financial institutions engaged in funds transfer and service credit cards and debit Purchase and financial investment portfolio Services Exchange Capitalization Companies Bags, bags commissions securities brokers and insurers generally Trust Managers pension funds Other financial.
Activities not adequately IN PUBLIC ADMINISTRATION, AGENCIES AND INSTITUTIONS NON-GOVERNMENTAL FOREIGN
public administration Nongovernmental organizations foreign institutions. OTHER NOT COVERED
are added to the above mentioned, those economic activities covered by the Government Accounting and in the classification of economic activities of the Ministry of Finance.
The fact that an economic activity is not covered in the previous enumerations does not remove the responsibility for payment.
CHAPTER II TAXES ON ECONOMIC ACTIVITIES
the tax base Art. 11. For the purposes of this Act shall be deemed taxable income and taxable asset values those assets owned or mobilizes a natural or legal person for the development of their economic activity, regardless of the course of business.
The taxable asset is determined by deducting the total assets, those assets taxed in other municipalities.
Companies engaged in two or more specific activities in this Act paid by taxable assets, the corresponding tax at each of these activities.
Shape Set the amount of tax
7
LEGISLATIVE INDEX Art. 12. Economic activities are taxed at fixed and variable tax imposed, based on the taxable asset according to the following: Taxing
ECONOMIC ACTIVITIES IN THE MUNICIPALITY ASSETS TAX RATE
$ 300.00 to pay a flat $ 1.50 per month fee.
From $ 300.01 to $ 3,000.00 $ 1.50 plus $ 2.00 per thousand or fraction exceeding $ 300.00
From $ 3,000.01 to $ 30,000.00 $ 6.90 plus $ 3.00 per thousand or fraction exceeding $ 3,000.00
From $ 30,000.01 to $ 100,000.00
$ 87.90 plus $ 2.75 per thousand or fraction exceeding $ 30,000.00
from $ 100,000.01 to $ 200,000.00
$ 280.40 plus $ 1.05 per thousand or fraction exceeding $ 100,000.00
from $ 200,000.01 to $ 300,000.00 $ 385.40 plus $ 1.10 per thousand or fraction exceeding $ 200,000.00 || | from $ 300,000.01 to $ 400,000.00
$ 495.40 plus $ 1.20 per thousand or fraction exceeding $ 300,000.00
from $ 400,000.01 to $ 500,000.00 $ 615.40 plus $ 1.30 per thousand or fraction exceeding $ 400,000.00
from $ 500,000.01 to $ 1,000,000.00 $ 745.40 plus $ 1.40 per thousand or fraction exceeding $ 500,000.00
from $ 1,000,000.01 to $ 15,000,000.00 $ 1,445.40 plus $ 1.25 per thousand or fraction exceeding $ 1,000,000.00
from $ 15,000,000.01 to $ 25,000,000.00 $ 18,945.40 plus $ 0.20 per thousand or fraction exceeding $ 15,000,000.00
from $ 25,000,000.01 hereinafter $ 20,945.40 more $ 0.15 per thousand or fraction exceeding $ 25,000,000.00
All amounts expressed in this article have been established in dollars of the United States of America.
8
LEGISLATIVE INDEX Art. 12, A. In the case of existing port infrastructure, airport and / or Ferroviaria in the municipality of San Luis Talpa, all assets and activities or services that are provided with the same, are taxed at a single municipal tax fixed monthly ten thousand dollars of the United States of America.
TITLE III MUNICIPAL TAX ADMINISTRATION,
RESPONSIBILITIES AND DUTIES OF OFFICIALS
TAXPAYERS CHAPTER I POWERS AND DUTIES OF MUNICIPAL TAX ADMINISTRATION
Control Powers Art. 13. The municipal tax administration through its officers and employees or delegates appointed for that purpose, shall have the powers of inspection, control, inspection, verification and investigation of taxpayers or responsible to each other to meet the obligations this law in accordance with the procedures set out in Articles 82 and 89 of the Municipal Tax Code. Any information provided will be kept strictly confidential.
Sanction Art. 14. Taxpayers or persons responsible in the preceding article who refuse to allow and facilitate inspections, tests, checks and investigations or provide explanations, data and reports suministraren or deliberately false or inaccurate data refers to, shall be punished in accordance about the provisions in Article 66 of the General Municipal Tax Law.
Body of Auditors and Art Reports. 15. To exercise the powers of inspection, the municipal administration will have a body of overseers.
The audit is the set of actions that the Municipal Tax Administration performs in order to establish the real tax situation of taxpayers, both those who have submitted their corresponding affidavit as those who have not done.
Duty of Information Art. 16.- Any owner or legal representative of commercial, industrial, services, government service entities including autonomous or any other activity, establishments are required to give written notice to the City Hall, on the date of the opening of establishment or activity concerned, no later than thirty days after the date of opening,
9
LEGISLATIVE INDEX
for the purposes of their qualification.
The lack of compliance with the requirement set out in the preceding paragraph, will lead to the owner or legal representative has been accepted the date the officer made the appropriate rating. Determined
date in accordance with the preceding paragraph, the taxpayer is required to make payment of the tax imposed. Duty Notice
Art. 17. Any natural or legal person subject to payment of municipal taxes, shall give notice to the Municipality of closure, transfer, change of address and any other event that results in the termination or variation of that tax, within the following the fact that is thirty days. Failure to comply with this obligation shall render liable the subject of tax payment thereof, unless they are covered by the acquirer, in cases of transfer.
It is authorized the City Council to officially close accounts when bona fide evidence that a natural or legal person has ceased to be subject to payment under this Act. This closure will be from the date determined by the City Council .
Affidavit Art. 18. Taxpayers subject to tax based on the taxable assets submitted to the Municipal Tax Administration of the Mayor, properly and fully complete the required information along with the form of the affidavit, and balance sheets for each fiscal year, as establishes the Commercial Code no later than three months after the end of that year and according to this law and all appropriate documentation to substantiate the deductions permitted under this law. CHAPTER III MUNICIPAL SOLVENCY
Solvency Municipal Art. 19. Any natural or legal person has the right to ask for any pending its corresponding municipal creditworthiness, which will be issued on plain paper, issued with the formalities expressed in Art. 101 of the Municipal Code.
To extend the municipal solvency is essential that the taxpayer is current in the payment of taxes, fees and fines he incurred.
Record may be extended solvency however it is pending resolution any appeal or challenge by surety granted by the concerned equal to the amount owed, plus a third part of it.
10
LEGISLATIVE INDEX TITLE IV FORMS OF EXTINCTION OF TAX LIABILITY AND MUNICIPAL
MORA CHAPTER I FORMS OF EXTINCTION TAX
Art. 20. The forms of termination of the municipal tax liability are:
A) Payment;
B) Compensation; and
c) The statute of limitations. CHAPTER II PAYMENT
Definition of Payment Art. 21. Payment is the fulfillment of the tax due and must be made by taxpayers or persons responsible.
This may be in legal tender, by issuing title value to the satisfaction of the municipality, in kind or payment in kind, in order to meet the tax due. When payment is made in kind or payment in kind, the City Council authorization is required.
Those who can make the payment of taxes
Art. 22. Payment can be made by the taxpayer, by the legal representative or a third party, in this case, there are legal subrogation third in the creditor's rights, which shall be in writing.
Deadline for making payment
Art. 23. Payment must be paid no later than thirty days after you done the event for the tax liability to the Municipal Treasury or through another mechanism established by the City Council and in accordance with the provisions of Art. 33 and 83 and 89 of the Municipal Tax Code of the Municipal Code.
Forms of Payment and other
Art Related Activities. 24. With regard to the ways that will be held payment facilities this, the expiration of the special period, the complaint and the overpayment, it will be the provisions of Art. 35 et seq General Municipal Tax Act.
11
LEGISLATIVE INDEX CHAPTER III COMPENSATION Compensation
Operation Art. 25. When this municipality and a taxpayer thereof, are reciprocal debtors of each other, may operate including compensation that extinguishes both debts up to the limit of the lowest in the cases and with the requirements of Articles 40 and 41 of the Municipal Tax Code.
CHAPTER IV PRESCRIPTION Prescription EXTINCTIVE O liberatory
extinguishing Shares or Rights
Art. 26. The prescription which extinguishes the shares or rights, requires only a certain period of time, during which has not been carried out those actions.
Prescribing the right of municipalities to demand payment of tax
Art. 27. The right of the municipality to demand payment of municipal taxes and accessories, barred for lack of initiative in the executive judicial collection during the period of 15 consecutive years.
Calculating the period for Interrupt Prescription and Its Effects
Art. 28. With respect to the calculation of the period, the interruption of prescription and effects of prescription subject to the provisions in Arts. 43 and 44 of General Tax Law and Municipal Art. 2257 of the Civil Code. CHAPTER V
MULBERRY AND OTHER ADJUSTMENTS Effect of Mora
Art. 29. It is understood that the taxpayer falls in arrears in the payment of taxes, when not carried the same and elapse within more than sixty days without verifying such payment; these taxes not paid on the conditions set forth in this provision will cause a default interest to the date of cancellation, equivalent to market interest for debts incurred by the business sector, from the day following the conclusion of the regular session of the day payment.
Interest will be paid together with the tax without resolution or requirement. Consequently, the obligation to pay survive even when I kind not required by the collector, bank, financial or any other institution authorized to receive such payment.
Abuse or excess payment
12
LEGISLATIVE INDEX Art. 30. If a taxpayer will repay an amount unduly or in excess, shall be entitled to the municipality make you return the balance in their favor or it is paid to future tax liabilities. TITLE V
KINDS OF SANCTIONS, of Infringements,
PROCEDURES AND RESOURCES CHAPTER I SANCTIONS Sanctions Classes
Art. 31.- For tax violations, the following sanctions are established:
a) Fine;
B) Comiso species that have been the object or the means to commit the offense or infringement;
C) Closure of the establishment, when he is coming. CHAPTER II
Infringements Infringements to the obligation to declare and Corresponding Sanctions
Art. They shape 32.- contraventions of the obligation to declare taxes to the municipal tax administration:
1 Ignore the tax return.
The penalty is a fine equal to 5% of the undeclared tax and shall never be less than $ 2.86. If the taxpayer proves no ability to pay the applicable fine will be $ 2.86 United States North America.
2nd Submitting false or incomplete statements.
The penalty is a fine of 20% of the unpaid tax and may never be less than $ 2.86. If the taxpayer proves no ability to pay, the fine will be applied is $ 2.86 United States of America.
3rd extemporaneously file tax returns.
13
LEGISLATIVE INDEX
The penalty shall be 2% of the tax declared after the deadline for each month or part month that has elapsed since the date on which ended the deadline for filing until the day he presented, can not be less than $ 2.86. If the taxpayer proves no ability to pay, the fine will be applied will be $ 1.14 in the United States of America.
Infringements to the Obligation to Pay Penalties and Corresponding
Art. They shape 33.- contraventions of the obligation to pay municipal taxes, omitting the payment or pay off deadlines. The penalty is a fine of 5% of the tax, if you'll pay in the first three months past due; and if promissory note in the months after the fine will be 10%. In both cases, the minimum fine will be $ 2.86 in the United States of America. Infringements
obligation to allow control by the Municipal Tax Administration and Sanctions Corresponding
Art. They shape 34.- contraventions regarding the obligation to allow control by the municipal tax administration:
1 Refusing, oppose or prohibit control by the municipal tax administration. The sanction that corresponds is 0.50% of assets declared, and never be less than $ 5.71 dollars, or more than $ 1,142.86 dollars the United States of America. If however the application of this penalty, the taxpayer remains in the negative or opposition, the penalty will be the closure of the establishment, which will be lifted immediately to allow access control.
2nd hide or destroy records are goods, documents or other evidence. The applicable penalty shall be equal to the previous paragraph, without prejudice to any criminal action giving rise.
Infringements to the obligation to inform and Corresponding Sanctions
Art. They shape 35.- contraventions of the obligation to report:
1 Refusing to supply the information requested by the municipal tax administration, on facts that the taxpayer is required to know, about their own activities or third parties. Skip
2nd information or notices to the municipal tax administration legal or administrative provisions relating ordered.
3rd Provide municipal tax administration false or incomplete reports.
In cases referred to the applicable fine is equal to the mentioned in the first paragraph of
14
LEGISLATIVE INDEX
previous article.
Contraventions and penalties Other Tax Obligations
Art. 36.- Violations incurred by taxpayers, managers or third parties for violations of tax obligations under this Act, laws or ordinances that establish municipal taxes and regulations, which they would not typified in the preceding articles shall be punished by a fine of $ 5.71 to $ 57.14 US in North America, according to the seriousness of the case and the economic capacity of the offender. CHAPTER III CRIME
MUNICIPAL TAX Art. 37.- constitute municipal tax crimes behaviors that define and penalize them as such in the Penal Code or special laws.
Proceedings of the Municipal Tax Administration regarding tax crimes
Art. 38.- Without prejudice to punish acts that constitute violations municipal tax, if those same facts and others, according to the municipal tax authorities presume the existence of a tax offense, which prejudiced the Municipal Public Finance, said administration shall make the appropriate administrative investigations to ensure the collection and preservation of evidence and the identification of participants in such crimes.
Exercise of Criminal Action
Art. 39. If the opinion of the municipal tax administration has committed a tax offense concerning the Municipal Treasury, will provide the information obtained if there is any and in any case, ask the Attorney General of the Republic initiate criminal action corresponds to the competent court, without prejudice to the private prosecutor City Council name for the same effects.
Competent Officer Art. 40.- The municipal mayor or authorized for that purpose official has jurisdiction to hear contraventions and penalties covered by this Act.
Appeal and Procedure
Art. 41. In the determination of taxes and sanctions made by the Municipal Tax Administration Appeal shall be allowed before the City Council, which must be brought before the official who made the score or pronounced the corresponding resolution , within three days after its notification.
The processing resource specified in the preceding paragraph shall follow the rules for the same have been established in Article 123 and following of the General Tax Law Municipal.
15
TITLE VI LEGISLATIVE INDEX
CHAPTER I FINAL PROVISIONS Art. 42. By the taxes paid to the Municipality of San Luis Talpa, there will be a surcharge of 5% will serve for the celebration of civic, cultural and festivity of the municipality.
Art. 43. - The person was not provided for in this Act shall be subject to what is provided in the General Municipal Tax Act, as may be appropriate and.
Art. Repealed 44.- General Rate of Excise Municipal, contained in Legislative Decree No. 160, dated August 9, 1984; published in the Official Gazette No. 153, Volume No. 284 dated August 20, 1984, as amended and subsequent additions.
Art. 45.- This Decree shall enter into force eight days after its publication in the Official Journal.
GIVEN IN THE BLUE ROOM OF THE LEGISLATIVE PALACE: San Salvador, on the tenth day of January of the year two thousand and thirteen.
OTHON Sigfrido Reyes Morales, president.
ALBERTO ROMERO ARMANDO RODRIGUEZ, GUILLERMO ANTONIO NAVARRETE GALLEGOS, FIRST VICE. SECOND VICE PRESIDENT.
MERINO JOSE FRANCISCO LOPEZ, FRANCISCO ROBERTO DURAN LORENZANA, THIRD VICE. FOURTH VICE.
JOSE ROBERTO MUNGUÍA d'Aubuisson, FIFTH VICE.
PEÑA LORENA GUADALUPE MENDOZA, CARMEN ELENA CALDERON SOL Escalon, First Secretary. Second Secretary.
SALGADO SANDRA MARLENE GARCIA, JOSE RAFAEL MACHUCA Zelaya, Third Secretary. Fourth secretary.
IRMA VASQUEZ PALACIOS LOURDES, MARGARITA ESCOBAR, FIFTH SECRETARY. SIXTH Secretariat. JOSE FRANCISCO
ZABLAH SAFIE, Reynaldo Antonio López Cardoza seventh Secretary. EIGHTH SECRETARY.
16
LEGISLATIVE INDEX
Casa Presidencial: San Salvador, on the fourteenth day of February of the year two thousand and thirteen.
Published,
Carlos Mauricio Funes Cartagena President of the Republic.
Zelayandía Gregorio Ernesto Cisneros, Minister of the Interior.
OJ No. 31 Volume No. 398 Date: February 14, 2013
SV / IELP 03/07/2013
