Global Daily Tax News, Chile Ready To Implement New VAT Regime For Platforms, (Oct 2, 2025)

Chile's tax agency has confirmed it will introduce new rules regarding the collection of VAT on low-value consignments starting October 25, 2025.

SII Exempt Resolution No. 84, released in July 2025, set out requirements on taxpayers not domiciled or resident in Chile to register, collect, and remit VAT under a simplified tax regime in respect of business-to-consumer supplies.

The requirement to account for and remit VAT through the simplified regime applies to consignments worth not more than USD500 (including the purchase price and also the cost of shipping, insurance, and packaging costs), and for digitally supplied services.

VAT registration obligations apply to operators of digital intermediation platforms; companies engaged by such platforms to manage the local delivery of goods ordered digitally; drop shipping companies; and other companies that allow or facilitate third parties to remotely market low-value goods destined for Chile, provided that the sellers of such goods are not VAT payers in Chile.

The collection of VAT at the point of sale absolves imports from VAT at the border. However, where VAT is not charged on international shipments under the regime, the VAT will be charged at importation, in line with the procedures established by the National Customs Service.

Currently, imports worth up to USD41 are exempt from VAT or tariffs.

In a statement issued in late September, the tax agency confirmed that it will proceed with implementation as planned, having been in contact with major platforms to work through implementation concerns, including AliExpress, which facilitates some 78 percent of all shipments.