by Mike Godfrey, Tax-News.com Washington
25 November 2019
On November 12, 2019, a law was published in the official gazette of Costa Rica which ratifies the updated Tax Information Exchange Agreement with the United States.
Under the agreement, which was signed on April 17, 2018, and is in line with the latest global information exchange standards, both countries undertake to offer assistance to one another through the exchange of information in order to determine, settle, and collect taxes, as well as to collect and execute tax claims, and to investigate and prosecute those involved in fiscal crimes. All information shared must be treated confidentially by both parties.
The agreement will enter into force one month after the date on which Costa Rica notifies the United States in writing that it has completed its internal procedures necessary for the agreement to enter into force.
The agreement will take effect for requests made on or after the effective date, with respect to tax periods that start on or after the effective date.