Venezuela: Carabobo state fixed the new value of the State Tax Amount (ITE) in Petros for the payment of state taxes and their accessories

In brief

The Governor of the Carabobo state issued Decree No. 1,557 ("Decree"),[1] whereby it set the value of the Special Tax Amount ("ITE") in 0.00015 Petros ("PTR"), which will have as reference the value of the Sovereign Crypto asset Petro. [2]  That equals to VES 8,833.41. [3] The previous value, set on 27 July 2020, was VES 1,500.00.[4]  The ITE must be paid in its equivalent only in VES, according to the final value of the immediately preceding business day indicated by the Central Bank of Venezuela.

The Decree entered into force on 1 December 2020.


Contents

In detail

1. Regional Authority. 

The value of the ITE will be a calculation base for payments made by taxpayers, liable parties, collection or withholding tax agents of state taxes, special contributions, fines, penalties, surcharges, and any other tax components applied by the Bodies and Entities of the Public Administration (Centralized and Decentralized) and by the Active and Passive Fiscal Control Bodies of the Carabobo state.

 

2. Scope of Application.

The Decree establishes the payment for all tax components provided for in the state statutes that use the ITE as the base for calculation, upon the issue of documents, acts, and tax withholdings and collections. The value of the ITE may be modified by the regional executive according to the fluctuations of the PTR.

 

3. Repeal. 

The Decree repealed Decree No. 1,443 of 23 July 2020.[5]

For the Spanish version, click here.

[1] V. Decree No. 1,557. Official Gazette of the Carabobo state No. 8.026 Ext. of 30 November 2020.

[2] Background and related information: Baker McKenzie, "Decreto Constituyente sobre Criptoactivos y la Criptomoneda Soberana Petro", at https://bakerxchange.com/rv/ff003a67204386781c1da3cb0146b9dc0311f77d; "Obligation to register economic information and events expressed in Sovereign Crypto-assets", at https://bakerxchange.com/rv/ff0055f58b8d4de7e7638c7fa0448f1364c0fb8c/p=6090735; "Regulations for the Accounting Registries of Transactions with Cryptoassets in Venezuela" at:  https://bakerxchange.com/rv/ff005850a06ee95cf300d881ac4c87b8996229c2/p=3674629 and "The National Assembly declares the nullity of the Petrocurrency" at: https://bakerxchange.com/cv/170e96acc11e242381d5d47271a793dfe9fa8be0/p=1634755, accessed 1 December 2020.

[3] Value as of 1 December 2020 (V. https://www.petro.gob.ve/calculadora.html).

[4] V. Baker McKenzie, "Venezuela: Carabobo state fixed the new value of the State Tax Amount (ITE) for the payment of state taxes and their accessories", en https://bakerxchange.com/rv/ff006673373c46be09a5cdb26e4f9052b0ceb48c/p=7811295, accessed 1 December 2020.

[5] V. Decree No. 1.443, Official Gazette of the Carabobo state No. 7,897 Ext. of July 23, 2020.

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