Peru enacts special depreciation rules due to COVID-19

On 10 May 2020, Peru’s Executive Power enacted Legislative Decree 1488, establishing special depreciation rules. This measure responds to the COVID-19 crisis. Legislative Decree 1488 is effective 1 January 2021.

Background

Currently, maximum annual depreciation percentages are as follows:

• Buildings and construction: 5%
• Vehicles for ground transportation (except railways) and ovens in general: 20%
• Machinery and equipment used for mining, oil and construction activities; except office fu…