Costa Rica VAT Calculator 2026
Last updated: January 2026
The Value Added Tax (IVA) in Costa Rica for 2026 has multiple rates administered by the Ministry of Finance (Ministerio de Hacienda): 13% general rate for most goods and services, 4% for private health and insurance services, 2% for medications, medical equipment, and school supplies, and 1% for basic basket staples. Some items are fully exempt including education, public transport, and financial services. Costa Rica has the most complex multi-rate IVA system in Central America. To calculate IVA at the general rate, multiply the base amount by 0.13. If the price already includes IVA, divide by 1.13. The transition from the old sales tax to IVA occurred in 2019, expanding the tax base to include services.
FAQ
What is the IVA rate in Costa Rica in 2026?
Costa Rica has 4 IVA rates: 13% general (most goods and services), 4% (private health, insurance), 2% (medications, medical equipment, school supplies), and 1% (basic basket staples). This multi-rate system is the most complex in Central America.
What products are exempt from IVA in Costa Rica?
IVA-exempt in Costa Rica: public education, public transportation, residential rent under certain thresholds, financial services, real estate sales (first transfer), basic public utilities, and exports. The exemption list is maintained by the Ministry of Finance.
How is IVA calculated on a price in Costa Rica?
For the general rate: multiply by 0.13. On ₡100,000 the IVA is ₡13,000, total ₡113,000. For the 4% rate: multiply by 0.04. If the price includes IVA at 13%, divide by 1.13 to get the pre-tax amount. Always check which rate applies to your product or service.
What changed when Costa Rica switched from sales tax to IVA?
In 2019, Costa Rica replaced the 13% sales tax (which only covered goods) with IVA, which also covers services. The general rate stayed at 13% but the tax base expanded significantly. Reduced rates of 1%, 2%, and 4% were introduced for essential goods and services.
Who administers IVA in Costa Rica?
IVA in Costa Rica is administered by the Ministry of Finance (Ministerio de Hacienda) through the General Directorate of Taxation (Dirección General de Tributación). Taxpayers file monthly IVA declarations electronically via the ATV (Administración Tributaria Virtual) system.