Congress makes official law that would double interest returned to bad taxpayers

Congress published at its insistence Law 31962, which ensures “sincere” interest for refunds of tax payments made improperly or in excess, refunds for withholdings or unapplied perceptions of the general sales tax and the corresponding for the update of fines.

But the reality is different. From now on, the Peruvian State will have to pay more interest to companies when refunds are made for excessive or improper tax payments and for withholdings or non-applied collections of VAT and updating of fines.

When the State makes a mistake and charges a tax that is not the right one, it returns the money to the taxpayer with an interest rate (because the time it took the money, it was devalued by inflation). But, when it is the taxpayer who declared incorrectly, it is also refunded but at a lower rate. Why minor? Because if this were not the case, everyone would intentionally misreport and then collect, thanks to interest, more than what they paid. A perverse incentive.

Currently, a default rate of 0.9% (TIM) is applied when a taxpayer adheres to the criteria of Sunat; but when it is not contemplated in it, the rate is 0.42% multiplied by a factor of 1.20 because the SBS determines that the interest rate cannot be lower than the average passive market rate for operations in national currency.

The Executive Branch questions the decision of Congress, and warns that the income of the Public Treasury will be affected and the interest to be returned will double, placing it now at S/280 million annually, since improper or excessive payments attributable to faults are incentivized and rewarded. or failures of the taxpayers themselves.

Thus, the opinion equates both rates at 0.9%. It was approved by majority and by insistence after having received the observation of the Government of Dina Boluarte.