Article 12 bis benefits of Decree 29-89 for apparel/textiles and ICT

Article 12 bis (added by Decree 19-2016) applies exclusively to the apparel and textile industry and to ICT services, call centers and contact centers, and grants: a) a one-year suspension on inputs; b) a one-year suspension on sample sets, engineering samples, instruction sheets, patterns and models; c) full exemption from import duty (DAI), taxes and VAT on imports of machinery, equipment, parts, components and accessories used in the production process as described in the qualification resolution; d) full exemption from income tax (ISR) for 10 years on the authorized activity (not applicable to branches whose home country credits Guatemalan income tax); e) alternatively, a one-year temporary suspension of the same taxes on machinery identified in the resolution; f) exemption from import and consumption taxes on fuel oil, butane/propane gas and bunker fuel for own power generation; g) local purchases of inputs and services for the qualified activity are not subject to VAT.

The research is written in English; quoted figures, source names and the titles of legal instruments stay in the language their source published them in.