Venezuela Increases Tax Unit Value and Minimum Monthly Salary

An increase in Venezuela's tax unit (unidad tributaria - TU) value from VEF 300 to VEF 500 was published in the Official Gazette of 1 March 2018. The tax unit is used as a reference value for a number of tax purposes, including determining applicable progressive income tax rates, deductions, penalties, and others. For corporate income tax, the increase results in the following brackets:

• up to VEF 1,000,000 (2,000 TU) - 15%
• over VEF 1,000,000 (2,000 TU) up to VEF 1,500,000 (3,000 TU) - 22%
• o…