Decree 29-2020
Congreso Nacional
- Decree: 29-2020
- Published: March 12, 2020
- Issuing body: Congreso Nacional
- Gazette: 35,198
- Category: Financial & Tax
Summary
This decree exempts (eliminates) sales taxes for companies and individuals purchasing raw materials, medicines, and sanitary products to combat coronavirus. It also exempts state institutions and non-profit organizations from certain tax requirements during the health emergency, effective until December 31, 2020.
Considerations
That Article 59 of the Constitution of the Republic establishes that the human person is the supreme end of society and the State.
That in accordance with Article 351 of the Constitution of the Republic, the National Tax System shall be governed by the principles of legality, proportionality, generality and equity, in accordance with the economic capacity of the taxpayer.
That by means of Executive Decree Number PCM-005-2020 published in the Official Gazette "La Gaceta" on February 10, 2020, in Article 1, "Declared a STATE OF HEALTH EMERGENCY, throughout the entire national territory, for the purpose of continuing and strengthening prevention and control actions and guaranteeing care for persons suffering from dengue; likewise, strengthening surveillance, prevention and control actions and guaranteeing care for persons in the event of probable occurrence of infection by Coronavirus (2019-nCoV)."
That in accordance with Article 205 Attribution 1) of the Constitution of the Republic, it is within the power of the National Congress: To create, decree, interpret, reform and repeal laws. ELVIS YOVANNI RODAS FLORES STATE SECRETARY IN THE OFFICE OF NATURAL RESOURCES AND ENVIRONMENT ROCIO IZABEL TÁBORA MORALES STATE SECRETARY IN THE OFFICE OF FINANCE KARLA EUGENIA CUEVA AGUILAR STATE SECRETARY IN THE OFFICE OF HUMAN RIGHTS ROBERTO ANTONIO ORDOÑEZ WOLFOVICH STATE SECRETARY IN THE OFFICE OF ENERGY NICOLE MARRDER AGUILAR STATE SECRETARY IN THE OFFICE OF TOURISM NELSÓN JAVIER MARQUEZ EUCEDA STATE SECRETARY IN THE OFFICES OF COMMUNITY DEVELOPMENT, WATER AND SANITATION (SEDECOAS) GABRIEL ALFREDO RUBÍ PAREDES STATE SECRETARY IN THE OFFICES OF RISK MANAGEMENT AND NATIONAL CONTINGENCIES
Articles
Natural and legal persons are not subject to the payment of Sales Tax and "Production and Consumption Tax" in local purchases and imports of raw materials, inputs, packaging materials and containers necessary for the manufacture of sanitizing products and medicines to address the health emergency and combat the effects of the probable risk of coronavirus infection. To make the aforementioned non-subjection effective, natural and legal persons must only accredit that they are duly authorized by the Health Regulatory Agency (ARSA). Exempt from fifteen percent (15%) Sales Tax, the purchase of masks and hand gel carried out by the population throughout the entire commercial market. The non-subjection established in this Article shall have a duration until December 31, 2020.
State institutions are not subject to the payment of Sales Tax and "Production and Consumption Tax," in local purchases and imports of sanitizing products and medicines to address the health emergency and combat the effects of the probable risk of coronavirus infection, until December 31, 2020.
The State and non-profit Civil Associations are exempted from presenting the tax clearance established in Article 28 of Decree No. 113-2011 dated June 28, 2011 and published in the Official Gazette "La Gaceta," Edition No. 35,562 of July 8, 2011 and Article 21 of Decree No. 170-2016 dated December 15, 2016, published in the Official Gazette "La Gaceta" on December 28, 2016, Edition 34,224, in the processing of all customs franchises and exemptions from local purchases as well as donations in the form of humanitarian aid in the area of health, education and food, derived from the Emergency established in the Steering Council of the National Risk System (SINAGER) for the prevention and fight against Coronavirus and Dengue. The Honduran Customs Administration is instructed to issue the necessary administrative guidelines to facilitate prompt clearance related to the preceding paragraph.
The Ministry of State in the Office of Finance (SEFIN) in coordination with the Ministry of State in the Office of Economic Development and the Honduran Customs Administration, within a maximum period of five (5) business days counted from the date of entry into force of this Decree, must issue the customs tax instruction that leads to the implementation of what is established in the previous articles. Once the aforementioned instruction is issued, immediately the Customs Administration must create the precision codes in the Customs Computer System (SARAH) for the application of the preceding paragraph and the respective controls.
Order the Ministries of State and other Decentralized and Deconcentrated entities of the Government, as appropriate, to facilitate immediately the administrative procedures in local purchases and imports of raw materials, packaging materials and containers, necessary for the manufacture of sanitizing products to address the health emergency and combat the effects of the probable occurrence of coronavirus infection.
The Ministry of State in the Office of Health and the Permanent Contingency Committee (COPECO) are exempt from the payment of all kinds of taxes in local purchases and imports of goods necessary to address the health emergency and combat the effects of the probable risk of coronavirus infection.
Free trade zones are authorized to sell one hundred percent (100%), free of taxes, of their production within national territory, specific medical equipment for the treatment of this pandemic, provided that it is necessary to address the health emergency under the terms of this Legislative Decree. Likewise, increase medical equipment, which must be done in an expedited manner.
This Decree shall enter into force as of the day of its publication in the Official Gazette "La Gaceta." Given in the city of Tegucigalpa, municipality of the Central District, in the Session Hall of the National Congress, on the twelfth day of the month of March of two thousand twenty. ANTONIO CÉSAR RIVERA CALLEJAS PRESIDENT JOSÉ TOMÁS ZAMBRANO MOLINA SECRETARY ROSSEL RENÁN INESTROZA MARTÍNEZ SECRETARY To the Executive Power Therefore: Let it be executed. Tegucigalpa, M.D.C., March 12, 2020. JUAN ORLANDO HERNÁNDEZ ALVARADO PRESIDENT OF THE REPUBLIC THE SECRETARY OF STATE IN THE OFFICES OF RISK MANAGEMENT AND NATIONAL CONTINGENCIES GABRIEL ALFREDO RUBÍ PAREDES
Related laws
- Decreto Legislativo No. 29-2020 — Incentivos fiscales para materias primas, insumos, material de empaque y envases para fabricación de productos sanitizantes (Decree 29-2020, 2020)
- Acuerdo Ministerial No. 227-2020 — Instructivo Técnico Tributario Aduanero para la aplicación del Decreto No. 29-2020 para atender la emergencia sanitaria y combatir los efectos del probable riesgo de infección por coronavirus (Decree 227-2020, 2020)
- Executive Decree PCM-046-2020 authorizing the redistribution of resources from credit operations with international organizations to address the humanitarian and health emergency — This decree authorizes the Ministry of Finance to reallocate US$64.9 million in international loans originally intended for infrastructure and education toward the Ministry of Health to combat the COVID-19 and dengue emergency. The funds come from unused portions of credits from international banks and are allocated exclusively for health expenses during 2020. (Decree 046-2020, 2020)
- Acuerdo Ministerial No. 241-2020 — Instructivo Técnico Tributario Aduanero para la aplicación del Artículo 1 del Decreto 43-2020 contentivo de la reforma del Artículo 39 del Decreto 33-2020 — This technical guide allows importers and manufacturers of medical supplies, medical equipment, antiseptics, and disinfectants to avoid paying sales taxes and import tariffs during the COVID-19 health emergency. It benefits companies producing these goods for domestic consumption and requires authorization from the health agency (ARSA) to apply the exemption. (Decree 241-2020, 2020)
- Acuerdo No. ADUANAS-DE-028-2020 — Procedimiento para la Facilitación del Despacho Aduanero de mercancías en régimen de emergencia sanitaria COVID-19 (Decree ADUANAS-DE-028-2020, 2020)