Tax Year

The tax year in El Salvador is the calendar year, from 1 January to 31 December.

Tax Return Filing

Annual tax returns must be filed by 30 April following the close of the previous tax year. An audit report by an external auditor must also be filed in May.

Tax Payments

Companies in El Salvador are required to make monthly advance tax payments equal to 0.3% to 1.75% of the previous month's gross income, depending on the sector of the business.

The final payment is due by 30 April with the tax return.

Availability of E-Filing

All tax returns are required to be filed electronically.

Tax Amnesty Program

El Salvador’s Ministry of Finance announced a new tax amnesty regime for tax and customs obligations. The voluntary compliance regime applies from 24 August 2022 until 1 November 2022. The amnesty regime provides an exemption to the taxpayers from interest, surcharges and fines on outstanding tax and customs obligations that expired before 25 August 2022, including annual obligations up to the tax year 2021 and monthly obligations up to the July 2022 period.

Under the amnesty regime, taxpayers can pay the outstanding tax, either in full or in up to 9 monthly installments, provided at least 10% of the outstanding tax due is paid in the first instalment, i.e., by 1 November 2022.