Official Gazette number 41.239 dated September 19, 2017, was issued Decree No. 3,085 of the same date, by which the President of the Republic issued Decree No. 4 in the framework of the State of Emergency and Economic Emergency which establishes a reduction to the General Tax Rate of Value Added Tax (VAT), applicable to transactions paid through Electronic Media.
By means of the aforementioned Decree, two temporary rebates are established for the general VAT rate for sales of movable property and / or services rendered by natural or legal persons, provided that such sales or services are paid through means only.
In accordance with articles 2 and 3 of the Decree, a reduction of three percent (3%) will be granted for transactions in all transactions up to the amount of two million bolivars (Bs 2,000,000.00); or a reduction of five percent (5%) for transactions exceeding two million bolivars (Bs 2,000,000.00).
It is excluded from the application of the reduction of the aliquot: i. transactions that are paid by non-electronic means; ii. when the electronic payment modality coexists with some other non-electronic payment method; iii. The acquisition of goods and services with the VAT received in advance; iv. Definitive imports of movable property; and V. the acquisition of metals and precious stones.
Finally, the Decree will be in force from Tuesday 26 September until Sunday 31 December, inclusive.