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Withholding tax on interest – provisionally suspended by Constitutional Court

02 December 2012

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Approved Changes

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Guatemala

Decision 2849-2012 of the Constitutional Court, published in the Official Gazette of 3 October 2012, provisionally suspends the application of article 180, paragraph 4 of Decree 10/2012. The decision reinstalls the application of the provision included in article 12 of Decree 80/2000, whereby interest paid to certain banks and financial institutions located abroad will be exempt from the 10% withholding tax under the Income Tax Law.