Paying taxes in Peru is a fundamental responsibility that falls on all citizens. However, in certain circumstances, incentives are granted with the aim of recognizing and rewarding those taxpayers who comply. In this sense, the question arises: is it possible to avoid paying taxes? The answer to this question varies according to each person’s particular situation. For example, if you have a company, it is unlikely that you can be exempt from this tax obligation.
On the other hand, if it is an individual citizen seeking to exonerate himself, it is possible to do so, as long as certain requirements are met, such as having an adequate profit margin. It is important to remember that compliance with tax obligations is essential for the development and proper functioning of society. In this note, we will provide you with more details.
Sunat: What is the fifth-category income tax?
According to the National Superintendence of Customs and Tax Administration (Sunat) fifth-category income includes income derived from an employment relationship, such as wages, salaries, allowances, gratuities, bonuses, Christmas bonuses and compensation in cash or in kind. In short, it includes all remuneration for personal work performed.
In an interview with La República, tax lawyer Jorge Picón explains the following: “The fifth category mainly taxes what is the payroll and exceptionally some payments to independent workers that are very similar to the payroll, because they are given a place for work, hours and the means.”
Along these lines, it specifies that if you are a fifth-category income generator you should not file a tax return, but if you generate fourth-category income, you are required to file a tax return of all income received in the year.
Sunat 2024: What should my monthly salary be so that I don’t get deductions?
In the year 2023, when the Tax Unit (ITU) had a value of S/4,950, people who earned more than S/34,650 annually were subject to a fifth-category income tax discount. However, in 2024, the UIT has increased to S/5,150 and the maximum annual income limit has changed.
According to current regulations, taxes begin to be levied from a certain point, known as the poverty line in all countries. In the case of Peru, for a person not to be subject to paying taxes, Your annual income must not exceed S/2,575 approximately, considering this year’s UIT. That is, calculating on 14 salaries per year, the total amount would be around S/36,050, which would not be subject to taxation, as detailed by the tax lawyer.
“The law establishes that taxes are levied starting from a certain point, which is known as the poverty line in all countries, so in Peru, for someone not to pay taxes, they must earn less than S/2,575 more or less with this year’s UIT, that is, calculating, on 14 salaries. In a year, there are around S/36,050 that would not be taxed,” emphasized Picón.
This is one of the Sunat offices in Peru. Photo: Sunat
What is income tax and who pays it?
Income tax is a tax that is paid on the income you receive annually, in that regard, it is valid from January 1 to December 31.
These revenues come from:
- Leases or other types of transfer of property And furniture
- Shares and other securities (capital gains)
- Of work performed in a dependent and independent manner.
Income taxes are also divided into five categories that determine who and what types of income, as well as the tax rate.
On the other hand, according to Sunat, People who are required to pay income tax are natural persons, dependent and independent workers, and legal entities, including shops, businesses, and others.
Source: Larepublica
Alia is a professional author and journalist, working at 247 news agency. She writes on various topics from economy news to general interest pieces, providing readers with relevant and informative content. With years of experience, she brings a unique perspective and in-depth analysis to her work.
