Costa Rica has just approved a new tourist tax plan which will be implemented over a 4 year period, to replace the current 13% sales tax with a new Value Added Tax applicable to most goods and services.

This means that services such as transfers, car rental, tours, entrance fees, and guide services which were previously exempted from taxation, will be taxed starting in the second year of the staggered application period of the new law – in 2020.

Starting on July 1st, 2020, tourist services will be taxed up to 4%; from July 1st, 2021, they will be taxed up to 8% and finally from July 1, 2022, all tourism services will be fully taxed.

Be the early bird, and book your Costa Rica travel, before spaces sell out for this coming year.