Guatemala Opens 180-Day Window for Tax Regularization in Primary and Livestock Sectors

Guatemalan taxpayers now have a crucial window to rectify past omissions in their primary and livestock sector declarations, thanks to the recent activation of Decree 31-2024. Prensa Libre reports that the Superintendencia de Administración Tributaria (SAT) has initiated a 180-day period, commencing April 28, 2026, for individuals to bring their tax affairs into compliance. This initiative targets those who may have failed to declare income, whether banked or unbanked, prior to the law's enactment, offering a streamlined path to regularization.

The core of this measure lies in its pragmatic approach to tax collection and compliance. For individuals who lack the necessary documentation to justify the origin of their income or to accurately calculate their tax liabilities, the law provides a solution. By submitting a sworn patrimonial declaration and paying a 5% tax on undeclared income or inventories, taxpayers can effectively settle their obligations. This payment serves to extinguish past tax debts related to the declared income, thereby providing legal certainty and simplifying their financial standing.

From Guatemala's perspective, this regularization process is a significant step towards broadening the tax base and formalizing economic activity. The SAT's clear explanation of the timelines and procedures, including the exclusion of non-working days in the 180-day count, demonstrates a commitment to facilitating compliance. The law not only offers a chance for individuals to clear their records but also aims to legitimize the source of their funds, fostering a more transparent and structured economic environment. This initiative is particularly relevant in a country where informal economic activities are prevalent, offering a much-needed mechanism for integration into the formal tax system.