Post-pandemic era brings slew of tax reforms in Latin America in 2021

Still shrouded in uncertainty over the future of the global COVID-19 pandemic, and seeking to strike a delicate balance between keeping economies running and not accumulating a large tax deficit, Latin American countries stepped into the post-pandemic world in 2021 with a range of tax reforms.

After 2020 when Latin American governments, like the rest of the world, focused on tackling the health crisis and economically shoring up the sectors that were hardest hit by the necessary business restrictions, 2021 presented an opportunity to rebalance weakened public finances without detracting from the slow but steady recovery in those countries. A truly titanic effort of which the outcome remains to be seen in the future course of these economies.

The only thing that there is total certainty about is that, yet again, as seen throughout the course of history, an event with the social and economic impact like that of the pandemic is inevitably accompanied by changes in the field of tax.

In this document, our tax experts analyze the tax changes announced and enacted in 2021 in Chile, Mexico, Peru, Colombia, Argentina and Uruguay.