Costa Rica Company Incorporations Advantages

The country is very stable and democratic. It is protected by the United States, and investors in Costa Rica are protected by the constitution of the country which is enforced by the Constitutional Court and has laws that respect banking secrecy on fiscal issues. Confidentiality between client and lawyer is also protected.

The legal and legislative system in Costa Rica prevents a government from introducing a sudden new tax or law which may be punishing to the owner of a Costa Rican corporation, or which may make an investment not viable.  Retroactive legislation was totally unconstitutional in Costa Rica, although recently the Constitutional Court has said that in the case of taxation non-retroactivity of the law is no longer a complete guarantee.

Taxation

There are no taxes payable by a Costa Rican corporation for revenue earned outside of the country.  There are no capital gains taxes, making Costa Rica an excellent country to hold real estate, either locally or outside of the country.  Real estate has a reasonable rate of appreciation due to the country's lure as a retirement site, for the location of industrial plants, for agricultural production and for tourism.  Due to its stability many companies and institutions choose it as a location for their Central American or Latin American head offices, keeping the market for residential and commercial real estate brisk.  Property taxes are very low compared to many countries, and corporate income taxes are relatively low as well.