The Costa Rican Association of Public Accountants reminded that, with the upcoming tax closing, companies may deduct accumulated tax losses from previous periods, provided they comply with the established requirements. For commercial and industrial companies, losses may be deducted in the three consecutive fiscal periods, while for agricultural companies the term is five years. These losses must be duly recorded as deferred losses and linked to the taxpayer's profit-making activity. In addition, the importance of having supporting documentation and complying with the International Financial Reporting Standards (IAS 12) to avoid rejections of deductions due to lack of evidence was highlighted.
Deduction of Losses: Fiscal Year-end 2024
Deadlines by Sector
- Commercial/Industrial: 3 years
- Agricultural: 5 years
- Consecutive periods
Key Requirements
- Recording as deferred losses
- Profit-making activity linkage
- Supporting documentation
- IAS 12 Compliance