Key Benefits:
LEGISLATIVE ASSEMBLY-REPUBLIC OF EL SALVADOR ____________________________________________________________________
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DECREE No. 539.-
THE LEGISLATIVE ASSEMBLY OF THE REPUBLIC OF EL SALVADOR,
WHEREAS:
I. That by Legislative Decree No. 3122 dated August 29, 1960, published in the Official Journal No. 169, Volume No. 188 of September 13 of the same year, the Cigarette Tax Law was issued.
II. That the Constitution of the Republic of El Salvador, in its article 1, establishes for the State the obligation to assure the inhabitants of the Republic the enjoyment of health.
III. That the taxes imposed on tobacco products are primarily intended to discourage the consumption of tobacco products because of the harm they cause to health.
IV. It is imperative to obtain additional resources to cover the health care costs of the population for the consumption of such products, so it is necessary to establish in addition to an ad valorem tax a specific tax for such products, in order to achieve the necessary funds to defray health social costs.
V. That in accordance with the above, it is necessary to issue a new law, in order to guarantee the collection of additional income that can be destined for the execution of health projects.
FOR TANTO:
In use of their Constitutional powers and on the initiative of the President of the Republic, through the Minister of Finance,
DECRETA the following:
TAX LAW ON TOBACCO PRODUCTS Object
Art.1. Cigarettes, cigarettes, cigarillos and any other manufactured tobacco products, hereinafter referred to as "tobacco products", of domestic or imported manufacture, shall be subject to the taxes laid down in this Regulation. law. Such taxes will be caused only once and will be paid in the form and amount determined in this Law.
They will also be taxed with the taxes provided by this Law for products containing mixtures of tobacco and substitutes thereof, without take into account the proportions present in the mix, except those whose introduction to the country is not permitted.
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Within the products called cigars are included among others that are generically known as pure.
Passive Subjects
Art. 2. They are taxable persons for the payment of the taxes established in this Law, the manufacturers and importers of the tobacco products referred to in the previous article.
For the purposes of the provisions of this Law, they are not considered to be taxable persons, who manufacture or craft such products in the country and who do not reach the limits laid down in Article 28 of the Law on the Transfer of Furniture and Services.
Art. 2-A.-THE PRODUCER, IMPORTER, DISTRIBUTOR, INTERMEDIARY, RETAILER OR ANY ECONOMIC OPERATOR, ARE SUBJECT TO THE AD VALOREM DUTY REGULATED IN THIS LAW, WHEN THEY SELL TOBACCO PRODUCTS AT PRICES HIGHER THAN THAT SHOWN IN THE BOXES, CONTAINERS, WRAPPERS OR OTHER PACKAGING CONTAINING THEM, SUCH SUBJECTS SHALL HAVE THE OBLIGATION TO FILE THE DECLARATION AND PAY THE AD-VALOREM TAX FOR THE PRICE DIFFERENTIAL.
IN THE CASE OF ESTABLISHED IN THE PRECEDING PARAGRAPH, THE DECLARATION OF SETTLEMENT OF THE TAX SHALL BE FILED, THE FIRST TEN WORKING DAYS OF THE MONTH FOLLOWING THE MONTH OF WHICH THE PRODUCT REFERRED TO IN ARTICLE 1 WAS TAKEN OUT OF ITS RESPECTIVE INVENTORY. OF THIS LAW. IN THE CASE OF DISTRIBUTORS, INTERMEDIARIES, RETAILERS OR ANY OTHER ECONOMIC OPERATOR, THE OBLIGATION TO SETTLE THE TAX SHALL BE ONLY IN RESPECT OF THE PERIODS IN WHICH THE CASE REFERRED TO IN THE PREVIOUS SUBPARAGRAPH HAS OCCURRED. THE IMPORTER AND PRODUCER SHALL SETTLE THE TAX IN THEIR RESPECTIVE DECLARATIONS.
IN THE CASE SET OUT IN THE FIRST POINT, THE TAXED OPERATIVE EVENT IS UNDERSTOOD TO HAVE OCCURRED AND CAUSED THE TAX, WHEN IT COMES OUT OF ITS INVENTORY. (2)
Generating Facts
Art. 3. They constitute operative facts of the specific tax and excise duty, the production and import of the tobacco products referred to in Article 1 of this Law, as well as the removal or disaffection of the inventory of the same, intended for for the use or personal consumption of the producer or third parties.
ALSO CONSTITUTES OPERATIVE EVENT OF THE AD-VALOREM TAX REGULATED IN THIS LAW, CIGARETTES, CIGARETTES, CIGARILLOS AND ANY OTHER MANUFACTURED TOBACCO PRODUCT THAN THE SUBJECTS DETAILED IN ARTICLE 2-A OF THIS LAW, WITHDRAW FROM THEIR INVENTORIES THE ASSUMPTION LEGAL REGULATED IN THE FIRST PARAGRAPH OF THAT ARTICLE. (2)
They are also considered to be withdrawn or unaffected, all products that fail in inventories and whose departure from the company will not be debiered in a fortuitous case or force majeure.
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Imposable and Alicuota Base
Art. 4. Specific and ad valorem taxes on the production and import of tobacco products are established, as follows:
a) SPECIFIC VAT
A SPECIFIC TAX OF TWO-QUARTER CENTS OF THE UNITED STATES OF AMERICA ($0.025) FOR EACH CIGAR, CIGARETTE, CIGARETTE OR ANY OTHER MANUFACTURED TOBACCO PRODUCT. IN THE CASE OF A MINCED TOBACCO PRODUCT THE SPECIFIC TAX SHALL BE APPLIED FOR EACH GRAM OF CONTENT. (2)
b) AD-VALOREM TAX
THE AD-VALOREM TAX WILL BE CALCULATED BY APPLYING A RATE OF THIRTY-NINE PERCENT (39%) ON THE SUGGESTED SUGGESTED SELLING PRICE TO THE DECLARED CONSUMER, EXCLUDING THE TAX ON THE TRANSFER OF MOVABLE PROPERTY AND TO THE PROVISION OF SERVICES AND THE SPECIFIC TAX ESTABLISHED IN THIS LAW. IN THE CASE OF PRODUCTS CALLED CIGARS OR BEANS, AN AD-VALOREM TAX SHALL BE APPLIED AT A RATE OF ONE HUNDRED PER CENT (100%). (1) (2)
The suggested selling price to the consumer must include all amounts or securities that make up the consideration and are charged or charged in addition to the costs and expenses of any class attributable to the product, even if they are invoiced or counted separately, including: packaging, freight, and the profit margins of the economic agents until the product reaches the final consumer.
In addition to the above, for the imported products the sale price to the consumer must include the actual or estimated CIF price General of the Income of Customs; taxes, levies, fees, duties or surcharges and accessories that are liquidated in the import policy, customs form or similar document. The tobacco products referred to in this Law may not be imported if the declaration of the relevant price list has not been submitted and approved.
Samples to which they are not assigned an economic value also will be taxed with the ad-valorem tax, constituting the tax base the suggested retail price to the consumer that the same products have when they are marketed.
Time when the tax is caused
Art. 5. The manufacture of the tobacco products, as a operative event, is understood to have occurred and caused the tax, at the time of departure of the factory, of the cellars, storage or collection centres, or of any other establishment of the products, in which the producer stores them.
The importation of the products referred to in the preceding paragraph shall be deemed to have occurred and caused the tax at the time of import. The imported products must bear in each pack, container, wrapper or other type of packaging the following legend: "Import to El Salvador"
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and the name of the importer; if you do not take them, the import of the product will not be allowed. Tobacco products circulating, stored or marketed in the local market that do not comply with those requirements will be confiscated by the General Directorate of the Income of Customs in conjunction with the National Civil and Police Police. destruction by the relevant judicial authority, in accordance with the procedure laid down by customs or criminal laws on the subject. The same measure will apply for products that the legends mentioned, have not been imported by the subject to whom they credit as an importer and this one is not registered as such in the Directorate General of Internal Revenue.
In the case of the withdrawal or disaffection of such goods, the tax is understood to be caused by the date of withdrawal or disaffection. If the date of withdrawal or disaffection cannot be determined, the Directorate-General for Internal Revenue shall be empowered to apply the provisions of Article 193 of the Tax Code as regards the determination of the missing or inventories and article 16 of this Act.
Obligation to Register
Art. 6. Tobacco producers, manufacturers of tobacco products, as well as importers of the products concerned, are obliged to register as such to the Directorate General of Internal Revenue in the Special Register of Producers, Manufacturers and Importers of Tobacco and Tobacco Products that the General Directorate of Internal Revenue will take to the effect.
The obligation to register must comply with the subjects referred to in this article, within the time limit. 10 working days following the start of operations. Those subjects who are already operating must be registered within 10 working days of the entry into force of this Law.
For this purpose, the number of registration number corresponding to the number of Contributor Registration (NRC), which will add a flag to identify the quality that the taxable person holds.
When for any circumstance, a subject registered in the Special Register referred to in this article, cease operations or activities, shall inform the Directorate-General of the Internal taxes, within five working days of the date of termination of operations or activities, in order to cancel such registration.
Tax Period. Obligation to Present Declaration. Content. Modification
Art. 7. For the purposes of this Law, the tax period will be a calendar month, consequently, manufacturers subject to the payment of the taxes referred to in this Law, will have to submit monthly an affidavit containing the information of the taxable and exempt transactions carried out in each tax period, in which the transactions carried out are recorded, in the forms provided by the Directorate-General for Internal Revenue for this purpose; information that such forms require.
This statement can also be presented by magnetic or electronic means in compliance with the technical specifications which the General Directorate of Internal Revenue has.
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The obligation to present the statement referred to in this article remains, even if no operations have been performed during the tax period.
The amending statements shall be governed by the provisions of the Code. Tributary.
Also, the producers in reference must attach to the monthly affidavit a report on physical form, or via magnetic or electronic means as provided by the General Directorate of Internal Revenue, containing the following data:
a) The mark or name of the (b) Price of sale to the final consumer suggested without VAT; (c) Initial inventory; (d) Production of the month; (e) Availability; (f) Exports; (g) Internal sales; (h) Reshoots or disaffection; (i) Sales developments; (j) Final inventory; (k) Units subject to payment of taxes; l) Tax base of the specific tax; m) Tax (n) the taxable amount of the ad-valorem tax; or (d) tax-value; (p) Tax payable.
For imported products, the taxes laid down in this Law shall be settled in the declaration of goods, customs form or a similar document at the time of its importation. Importers shall keep a register containing the information relating to (a), (b), (k), (l), (m), (n), (o) above and the tax paid, and shall make them available to the Directorate-General for Internal Revenue where the requires it.
Place, Deadline, and Declaration and Payment Requirements
Art. 8. The affidavit will include the payment of the taxes and must be filed in the General Directorate of Internal Revenue, in the Directorate General of Treasury or in the Banks and other financial institutions authorized by the Ministry of In the first ten working days of the month following the corresponding tax period.
The taxes on imports must be settled before the General Directorate of the Income of Customs in the same act as determine the customs duties and the payment must be made in the Collecturias of the General Directorate of Treasury, in the Banks or in any other financial institution authorized by the Ministry of Finance.
The payment of the taxes contained in this law does not constitute for the subjects obligated to their payment taxable income, nor cost or expense deductible for income tax purposes.
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Price List Juried Statement
Art. 9. THE MANUFACTURERS OF THE TAXABLE GOODS REFERRED TO IN THIS LAW MUST SUBMIT TO THE GENERAL DIRECTORATE OF INTERNAL TAXATION IN JANUARY EACH YEAR A LIST OF SUGGESTED PRICES FOR SALE TO THE FINAL CONSUMER IN FORCE AT THE DATE OF THE ENTRY INTO FORCE OF THE SUBMISSION OF SUCH LIST, BY MEANS OF FORMS, OR THROUGH MAGNETIC OR ELECTRONIC MEANS AND WITH THE REQUIREMENTS AND INFORMATION REFERRED TO BY THAT DIRECTORATE GENERAL, SPECIFYING THE DATE FROM WHICH THE PRICES SHALL BE GOVERNED, AS WELL AS THE CLASS OR TRADE MARK FOR TOBACCO PRODUCTS. (2)
Importers of tobacco products shall submit to the General Directorate of the Customs Income a list of suggested prices for sale to the final consumer for each import, including the brands of such products.
In all cases, the price lists will have an affidavit character and will be applicable for taxes, specific and ad-valorem.
PRICE LISTS SHOULD BE MODIFIED WHEN A NEW PRODUCT IS PRODUCED OR IMPORTED OR, WHERE THERE IS AN AMENDMENT TO THE SUGGESTED RETAIL PRICE. SUCH MODIFICATION SHALL BE INFORMED TEN WORKING DAYS AFTER THE DATE ON WHICH THE SUGGESTED SALES PRICES ARE MODIFIED TO THE GENERAL PUBLIC, SPECIFYING THE DATE FROM WHICH THE PRICES WERE GOVERNED, AS WELL AS THE CLASS OR MARK. TRADE IN TOBACCO PRODUCTS. (2)
For the goods referred to in this law, produced in the country, the suggested selling price to the consumer must be recorded in printed form on the boxes, containers, wrappers or other packaging containing them. In the case of imported tobacco products, the selling price must be affixed by label to each box, container, wrapper or other packaging containing them.
FOR THE PURPOSES OF THIS LAW, THE PRICE SHALL BE UNDERSTOOD SUGGESTED FOR SALE TO THE FINAL CONSUMER, THE SELLING PRICE TO THE FINAL CONSUMER OF THE TOBACCO PRODUCTS; IT IS NOT CONSIDERED AS SUGGESTED PRICE OF SALE TO THE FINAL CONSUMER, THE PRICE INVOICED TO THE DISTRIBUTOR, INTERMEDIARY, RETAILER, OR, TO ANY OTHER ECONOMIC OPERATOR OTHER THAN THE ONE SELLING THE TOBACCO PRODUCTS TO THE FINAL CONSUMER, NOR THE ONE TO BE DETERMINED IN THE TRANSFER OF DOMAIN OF THE PRODUCTS AFFECTED BY THE PRODUCER OR IMPORTER OF TOBACCO PRODUCTS TO RELATED SUBJECTS. RELATED SUBJECTS SHALL BE UNDERSTOOD AS ESTABLISHED IN THE TAX CODE. (2)
Exemption
Art. 10. The domestic manufacture of the goods covered by this law, which are exported, shall be exempt from the taxes laid down in this law.
Obligation in Matter of Records and Documents
Art. 11. They will be required to carry out special inventory control registration on a permanent basis, regardless of the inventory control system they have adopted, the people
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following:
a) Tobacco producers and importers; and
b) Producers and importers of the goods taxed by this Act.
The inventory control record referred to in this Article must comply with the any case with the minimum specifications set out below:
For those included in the literal a) of this article:
1. The date of the operation.
2. Description of the operations, detailing whether the operation consists of production, import, export, purchase, consumption, sale, retirement or disaffection.
3. Number of the document supporting tobacco entries and exits.
4. Name of the tobacco supplier, in the case of importation.
5. Tobacco balance at the beginning of the period.
6. Quantities of tobacco purchased, produced, exported or imported.
7. Exported production.
8. Identification of the legal documents to cover the exports and the lot to which they correspond.
9. Quantities of tobacco used, sold or withdrawn.
10. Balance at the end of the tobacco quantity period.
For those who are included in the literal b) of this article:
1. The same requirements of numerals 1, 2 and 3 of the previous paragraph, with respect to the tobacco products referred to in Article 1 of this Law, as well as the returns of the products taxed by this Law.
2. Identification of the production batch, in the case of producers.
3. Name of the supplier, in case of imported products.
4. The balance at the beginning of the period, of units produced or imported.
5. Units produced or imported.
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6. Exported production.
7. Identification of the legal documents that cover the export and the production batch to which they correspond.
8. Units sold of goods produced or imported, removed or unaffected from inventories for any cause.
9. The balance of units at the end of the period, produced or imported.
10. The specific tax and the ad-valorem tax corresponding to each operation.
The special register referred to in this article must be taken as part of the special inventory control register provided for in Article 142 of the Tax Code.
That record should reflect the current inventory's current existence at any time.
Reporting Sales to Producers, Distributors and Retailers
Art. 12. Producers and importers of tobacco or of the products referred to in Article 1 of this Law, who transfer such goods to producers, distributors or retailers, shall inform the Directorate-General of Internal Revenue by means of the forms that you provide, within the first ten working days of the month following that in which you made them, the following data are mentioned:
1. Name, name or social name and NIT of producers, retailers or distributors;
2. Units or quantities sold, in the case of the sale of the products referred to in Article 1 of this Law or of tobacco, respectively; and,
3. The amount of operations.
Using Control Documents
Art. 13. The tobacco producers and the goods taxed by this Law must use internal documents consisting of sheets of production costs and proof of requisition for the control of the units, of their production costs and of the tobacco used as raw material.
The cost sheets and proof of requisition in mention must be numbered correlatively, record the identification of the production lot with which they relate and keep correspondence with the annotations made in the accounting.
Base Determination Imposed by Price List Extemporanea Presentation
Art. 14. Where the taxpayer does not present within the legal period the modification of the price list to the General Directorate of Internal Revenue and these prices are subsequently reported
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but before you start the audit process and are superior to those you have been using, the General Directorate may use them as a tax base to set taxes, ad valorem and specific.
Determination of the Tax Base of the Ad-valorem Tax for Lack of Information Price List
Art.15. The Directorate-General for Internal Revenue is empowered to determine the tax base of the ad valorem tax when the list of prices suggested to the consumer is not presented, with reference to the market prices to the final consumer.
For the purposes of the preceding paragraph, a price list will be held for the purposes of the preceding paragraph, when it is not at the time of the start of a process audit.
The market price referred to in the first paragraph of this Article shall be determined (a) the prices charged to it by any two commercial establishments selling those products to the final consumer, in the same tax periods.
Founded on Inventory Differences
Art. 16. The differences in inventories to be determined in accordance with Article 193 of the Tax Code shall be presumed, unless proof to the contrary, that they constitute:
a) In the case of missing, produced units that have come out of the factories, warehouses, storage centres or collection of the contributing contributors, which have been omitted to register and declare. The following procedure shall be carried out to impute the undeclared units:
1) Undeclared units shall be divided between the units produced declared, registered or documented in the financial year or period of taxation, by type of product, resulting in a factor by product type to impute the undeclared units.
2) The factor by product type will be applied to the produced units that have left the factories, holds, storage centers or collection declared, recorded or documented for a monthly tax period, thus imputing the undeclared units to the respective monthly tax periods.
b) In the case of surplus, units produced or imported which have been omitted to register by the producer or importer taxpayer, in the period or period of taxation or monthly tax periods included in the commercial year in which the excess was determined and which reflect the existence of a hidden business. In order to determine and impute the undeclared produced units that have left the factories, holds, storage or storage centres, as well as the undeclared imported units, the following procedure shall be carried out:
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1) Undeclared units by product type shall be determined by applying to the surplus units the inventory turnover rate by product type. The reference rate shall be calculated by dividing the units produced which have left the factories, holds, storage centres or collection, declared, recorded or documented between the average of the units of the initial and final inventory by type of product in the commercial year or in the monthly tax period in which the procedure was applied. In the case of imports the index will be calculated equally by dividing the imported units between the average of the units of the initial and final inventory.
2) Undeclared units will be charged to the tax periods included in the commercial year in which the procedure was applied, if it was not possible to establish which period to impute or to attribute the units for covering the procedure a calendar year, they shall be charged on a factor which is shall be obtained from dividing the undeclared units between the units produced declared, registered or documented in the period or exercise of taxation, by product type. In the case of imports the factor shall be obtained in the same way, by dividing the undeclared units between the imported units in the period or commercial year, by product type.
3) The factor by product type shall be applied to the produced units that have come out
of the declared, registered or documented factories, warehouses, storage centers or collection or to the units imported for a monthly tax period, thus imputing the units declared for the respective monthly tax periods. For the case of the taxable importer the undeclared units imputed shall be considered to be imported within the first five days of the monthly tax period to which they are charged.
procedure established in this article, the tax base for the specific tax and ad valorem will be calculated and the corresponding aliquot will be applied, in accordance with the provisions of this Law.
Customs may apply the procedure laid down in this Article and shall use for the purposes of determining the taxes referred to in this Law, the latest list of prices reported in each tax period to which the missing or surplus is attributed and in its defect may use the assumptions established in this Law.
Taxes that correspond to the General Directorate of the Income of Customs, the Directorate General of Internal Revenue will transmit to the first Directorate General the information and documentation relevant, so that it is in the exercise of its powers do the tax clearance to be done.
Incompliance with the Obligation to Submit the Juried Statement of Price List
Art. 17. They constitute breaches of the obligation to declare the list of suggested retail prices to final consumers:
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(a) Not to present or to present the affidavit of the suggested list of prices suggested for sale to final consumer. Penalty: Fine equivalent to zero point five per cent on the equity or capital of the book which is on the balance sheet minus the unrealised asset revaluations surplus, which may not be less than four monthly minimum wages.
(b) Not to present or present an amendment to the list of prices suggested for sale to final consumer. Penalty: Fine equivalent to zero point five per cent on the equity or capital of the book which is on the balance sheet minus the unrealised asset revaluations surplus, which may not be less than two monthly minimum wages.
The balance sheet for which the equity or accounting capital is to be taken, as referred to in subparagraphs (a) and (b) above, shall correspond to the closing of the previous immediate calendar year, the year of the year in which the list affidavit was submitted. Suggested prices for sale to final consumer.
The equity or the accounting capital, will be taken the general balance sheet that obtains, holds, establishes or determines by any means the General Directorate of Internal Revenue based on the powers granted to it by the Tax Code. Where there is no balance sheet or it is not possible to establish the equity or capital of accounts, the penalty of nine minimum wages shall apply.
Art. 17-A.-CONSTITUTES NON-COMPLIANCE WITH THE OBLIGATION LAID DOWN IN THE FINAL ARTICLE 9 OF THIS ACT:
NOT TO RECORD OR NOT PLACE THE PRODUCER OR IMPORTER IN THE BOXES, CONTAINERS, WRAPPING OR OTHER TYPE OF PACKAGING THAT IT CONTAINS THE PRODUCTS COVERED BY ARTICLE 1 OF THIS LAW, THE SELLING PRICE SUGGESTED TO THE PUBLIC. PENALTY: A FINE EQUIVALENT TO ZERO POINT FIVE PER CENT ON THE EQUITY OR CAPITAL OF ACCOUNTS WHICH IS SHOWN IN THE BALANCE SHEET MINUS THE SURPLUS BY UNREALISED ASSET, WHICH MAY NOT BE LESS THAN FOUR MONTHLY MINIMUM WAGES.
THE GENERAL BALANCE OF THE ASSETS OR CAPITAL OF ACCOUNTS, AS REFERRED TO IN THE PRECEDING PARAGRAPH, SHALL CORRESPOND TO THAT OF THE CLOSING OF THE PRECEDING IMMEDIATE CALENDAR YEAR, THE YEAR OF THE YEAR IN WHICH THE NON-COMPLIANCE IS ESTABLISHED.
THE EQUITY OR CAPITAL OF ACCOUNTS SHALL BE TAKEN FROM THE BALANCE SHEET THAT OBTAINS, PROVIDES, ESTABLISHES OR DETERMINES BY ANY MEANS THE GENERAL DIRECTION OF INTERNAL TAXES BASED ON THE POWERS GRANTED TO IT BY THE TAX CODE. WHERE THERE IS NO BALANCE SHEET OR IT IS NOT POSSIBLE TO ESTABLISH THE EQUITY OR CAPITAL OF ACCOUNTS, THE PENALTY OF NINE MINIMUM WAGES SHALL APPLY. (2)
Incompliance to Record-Matter Obligation
Art. 18. They constitute non-compliance with the obligation in the field of records:
a) omitting to keep a special register of control of tobacco inventories or special register of inventory control of the tobacco products referred to in Article 1 of this law: The above non-compliance will be sanctioned according to Article 243 literal a) of the
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Tax Code.
b) Not to keep a special register of tobacco inventory control or special inventory control of tobacco products in the manner prescribed in this Law and Article 142 of the Tax Code. The above non-compliance will be sanctioned according to Article 243 literal (b) of the Tax Code.
The provisions of the last and last penultimate of the previous article will also apply to this article.
to Use Control Documents
Art. 19. They constitute breaches of the obligation to use control documents:
a) Do not use internal documents of production cost sheets and proof of requisition for the control of the units and their production costs. Penalty: Multa equivalent to ten minimum wages per monthly tax period in which no cost sheets or proof of requisition have been used.
b) Use internal documents of production cost sheets and vouchers requisition for the control of the units and their production costs, without complying with the requirements prescribed in this Law. Penalty: Multa equivalent to a minimum monthly wage average per cost sheet or a fourth monthly minimum wage per tax period, when such sheets do not meet the correlative numbering, lot identification requirements production or that you do not correspond to the accounting log of the producer contributor.
Incompliance with the Reporting Obligation
Art. 20. They constitute breaches of the obligation to report:
NOT INFORM, REPORT OUTSIDE THE LEGAL PERIOD, REPORT CONTAINING INCORRECT OR NON-EXISTENT INFORMATION OR PRESENT BY A DIFFERENT MEANS, THE REPORT CONTAINING THE DATA PRESCRIBED IN THE ARTICLE 7 FIFTH INDENT AND THE REPORT REFERRED TO IN ARTICLE 12, BOTH OF THIS LAW. PENALTY: A FINE EQUIVALENT OF ZERO POINT ONE PER CENT ON THE EQUITY OR CAPITAL OF ACCOUNTS WHICH IS SHOWN IN THE BALANCE SHEET MINUS THE SURPLUS BY THE UNREALISED ASSET RATIO, WHICH MAY NOT BE LESS THAN A MONTHLY MINIMUM WAGE. (2)
The provisions of the penultimate and final provisions of Article 17 of this Law shall apply to the provisions of this article.
Application of the Tax Code
Art. 21. The Tax Code shall be applicable in all that is not provided for in this Law.
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When mentioned in the context of this Law at minimum wages, they will be understood to refer to those of commerce.
Defeat
Art. 22. Repeal the Law on Cigarette Taxes issued by Legislative Decree number 3122 dated August 29, 1960, published in Official Journal No. 169, Volume 188, of September 13, 1960.
Vigency
Art. 23. This Decree shall enter into force eight days after its publication in the Official Journal.
GIVEN IN THE LEGISLATIVE PALACE. San Salvador, at the sixteenth day of December of the year two thousand four.
CIRO CRUZ ZEPEDA PEÑA, PRESIDENT.
JOSÉ MANUEL MELGAR HENRIQUEZ, JOSÉ FRANCISCO MERINO LÓPEZ, FIRST VICE PRESIDENT. THIRD VICE-PRESIDENT.
MARTA LILIAN COTO VDA. DE CUELLAR, JOSE ANTONIO ALMENDARIZ RIVAS, FIRST SECRETARY. THIRD SECRETARY.
ELVIA VIOLETA MENJIVAR, FOURTH SECRETARY.
CASA PRESIDENTIAL: San Salvador, at the twenty-two days of December of the year two thousand four.
PUBESQUIESE,
ELIAS ANTONIO SACA GONZÁLEZ, PRESIDENT OF THE REPUBLIC.
José Guillermo Belarmino López Suárez, Minister of Finance.
D. O. No. 239 Took Nº 365 Date: December 22, 2004
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REFORMS:
(1) D.L. Nº 643, MARCH 17, 2005; D.O. NO 55, T. 366, MARCH 18, 2005.
(2) D. L. No 235, DECEMBER 17, 2009; D. O. NO. 239, T. 385, DECEMBER 21, 2009.
LM/adar
CGC/JCH 21/01/10
