Supreme Decree N°4298 established the New Entrepreneurship Regime called SIETE -RG.
This regime has been in force since September 1, 2020, and regulated by the SII (Servicio de Impuestos Internos – Internal Revenue Service) through the Normative Resolution of the Board of Directors N°102000000021, which among other measures, has created the Form N°773 SIETE RG for the affidavit.
Although S.D. No. 4298 has been repealed by the enactment of S.D. No. 4416, this regime is in force until December 31, 2020.
This article describes the main aspects of this regime and Form N°773 SIETE RG.
What does SIETE RG consist of?
It is the Special Integrated Transition System for Entrepreneurs to the General Regime through which the payment of certain taxes is consolidated in a single franchise tax.
Among the consolidated taxes are Value Added Tax (VAT), Transaction Tax, and Profit Tax.
What are the conditions to join the regime?
According to Article 12 of RND (Resolución Normativa de Directorio – Normative Resolution of the Board of Directors) N°102000000021, the taxpayers of the SIETE RG must comply with the following requirements:
- To be a unipersonal company registered in the Registry of Commerce or an independent professional.
- To perform productive manufacturing or service activities, provided that its annual income projection is equal to or less than Bs250,000.
- To have a maximum of only two economic units.
- To use electronic payment instruments to sell goods or provide services.
What are the main aspects of this regime?
Among the main characteristics of the SIETE RG are the following:
- Among the main characteristics of the SIETE RG are the following:
- Taxpayers registered to the regime have a tax obligation to issue invoices, but these will not generate tax debit or credit, and 5% of the net sales price will be used as payment on the VAT account in Form 200.
- The taxpayer must register the purchase and sales invoices through the “my invoices” application.
What is the procedure to pay the tax?
The taxpayers of the regime will declare and pay on a bimonthly basis in a consolidated manner through the monotax. The taxes mentioned in previous paragraphs, through Form 773-SIETE RG in the Virtual Office.
What are the deadlines for filing Form 773-SIETE RG?
As indicated above, the return must be filed through the Virtual Office, according to the following deadlines:
|January and February||
March and April
|May and June||
July and August
|November and December||
Nevertheless, since this regime will only be in force until December 31, 2020, the last filing of this will be in January 2021.