Individual - Other taxes

Last reviewed - 04 August 2021

Social security contributions

Below is a chart containing the main contributions established to finance social security.

Contributions Employee Contribution Basis Contribution basis (cap) Employer´s contributions (%) Employee´s contributions (%) Notes
Mandatory Social Security Regime Contribution Wages (normal or regular wages) Up to five minimum salaries for urban workers 9, 10, or 11 4 (1, 2, 5)
Employment Benefit Regime Contribution Wages (normal or regular wages) Up to ten minimum salaries for urban workers 2 0.5 (1)
Housing Regime Contribution Total monthly (or integral) salary No cap 2 1 (4, 5)
Employee Training Contribution (INCES) Annual profit sharing bonus No cap 2 0.5 (3)
Workplace Prevention, Conditions and Environment Contribution (LOPCYMAT) Total salaries paid to employees No cap is established. 0.75 to 10 N/A (6, 7)


  1. Minimum monthly salary increased to VES 7 million as of 1 May 2021. 
  2. According to the current system, the employer's contribution to social security will depend on the company's risk qualification (minimum risk, middle risk, or maximum risk).
  3. Regarding Instituto Nacional de Capacitación y Educación Socialista (INCES) contribution, the employer must contribute 2% of the total wages and salaries paid to employees.
  4. According to the Ley Orgánica del Sistema de Seguridad Social (LOSSS), the general rule for contribution basis for the new systems cannot exceed ten minimum salaries. The transition rules establish a contribution basis of five metropolitan minimum salaries for urban workers for social security purposes. No cap is expressly established in the transition rules for the housing system and work, security, and health regime.
  5. The basis of calculation of the housing contributions is the ‘integral salary’. The integral salary is a concept established in the Organic Labour Law, and it comprises the following payments: commissions, gratifications, profit sharing, bonuses, vacation bonus as well as surcharges for holidays, overtime, night shifts, among others, all of which are made to the employee and correspond to the services rendered by the individual.
  6. Contributions to be made to this regime are exclusively for the employer and vary depending on the risk associated to the company. A company's risk is to be determined by the Instituto Nacional de Prevención, Salud y Seguridad Laborales (INPSASEL).
  7. Ley Orgánica de Prevención, Condiciones y Medio Ambiente de Trabajo (LOPCYMAT) regulations do not establish a cap for the contribution. However, as mentioned, the LOSSS establishes a maximum of ten minimum urban salaries. For this reason, there are several contrary interpretations on whether a cap should be applied in this case.

Consumption taxes

Value-added tax (VAT)

Federal VAT (Impuesto al Valor Agregado or IVA), is a one-time tax payable by the ultimate consumer of all types of products and services.

In general, VAT is payable on all sales, rental, and importation of goods, and rendering of services executed or used in the country, although a number of significant exceptions are provided by law.

The rate may change every year, within the range of 8% to 16.5%. The current general rate is 16%.

A 15% VAT applies to the sale and imports of luxury products (e.g. vehicles valued at 40,000 United States dollars [USD] or more, motorcycles valued at USD 20,000 or more, nickel or token game machines, aircraft used for recreational or sport purposes, jewellery valued at USD 300 or more).

An additional tax rate, subject to modification by the National Executive and ranging from 5% to 25%, is applicable to goods and supply of services paid in foreign currency, cryptocurrency, or crypto assets different from those issued or guaranteed by the Bolivarian Republic of Venezuela. To date, the applicable rate has not been published.

The aforesaid additional rate is to be established by the National Executive by Decree and will be applicable if (i) the sale of movable property or supply of services taking place in the national territory, including tax exempt transactions, is paid in foreign currency, cryptocurrency, or crypto assets different from those issued or guaranteed by the Bolivarian Republic of Venezuela and (ii) sales of immovable property are paid in foreign currency, cryptocurrency, or crypto assets different from those issued or guaranteed by the Bolivarian Republic of Venezuela.

The newly introduced additional tax rate will be effective as of 30 continuous days following the publication of the Official Gazette by which the National Executive is to establish the applicable rate.

An 8% VAT applies to the following transactions:

  • Goats, sheep, and minor species for slaughter or breeding.
  • Meats in their natural state, or refrigerated, frozen, or salted meats, or meats in brine of goats, sheep, and poultry.
  • Shortening.
  • Rendering of professional services to any government entity, in any level or branch of government, provided such services do not involve any commercial transactions but rather predominantly intellectual work or efforts.
  • Domestic air passenger transportation. 

Net wealth/worth taxes

The high net wealth tax was enacted by Constitutional Law published in July 2019 and reprinted in August 2019. The tax applies to the net worth of taxpayers qualified as special taxpayers and shall be determined on an annual basis on the value of the net worth at the end of the tax year.  

Individual and corporate special taxpayers are subject to tax when their worth is equal to or higher than TU 150 million. Resident individuals and entities in the terms of the Constitutional Law are subject to tax on their total net worth, regardless of the place where the assets are located or the rights can be enforced, whereas non-resident taxpayers or nationals non-resident in the country are subject to tax on assets located and rights enforceable in the country. Foreign persons with a permanent establishment (PE) in the country are subject to tax on the total net worth attributable to the PE regardless of the place where the assets are located or the rights can be enforced.

Under the Constitutional Law that enacted the high net wealth tax for special taxpayers, the circumstances determining individual tax residence have been enhanced with respect to those provided in the Venezuelan Income Tax Law and the Master Tax Code

The annual tax period end has been provided to end on 30 September of each year. The first taxable period was that ending 30 September 2019. The applicable rate is 0.25%. The taxable basis is comprised by the sum of the total assets’ value less liabilities and excluding the value of burdens and encumbrances, as well as tax-exempt assets and rights.

The return filing and payment of the tax shall be executed from 1 October and 30 November of each year. The tax shall be reported pursuant to the standards provided for such purposes in the tax authorities’ website.

Inheritance, estate, and gift taxes

The estate and gift tax (Impuesto sobre Sucesiones y Donaciones [EGT]) is imposed on all persons that are beneficiaries of an estate, inheritance, or gift of immovable property, rights, or shares located within Venezuela. The EGT is territorial in the sense that it is levied on Venezuelan estates and gifts, irrespective of the residence, domicile, or nationality of the beneficiary. EGT is imposed on the value of all property inherited or received from the descendant or donor (less certain liabilities and expenses), which must be appraised based on current market values at the time of the death of the descendant or at the time of the gift. The tax rate varies depending on the degree of kinship between the descendant of the donor and the beneficiary.

Property taxes

The Urban Property Tax is a local or municipal tax payable by any person who owns property rights or any other real rights on urban real estates. The taxable basis is the value of the urban real estate. For these purposes, the fair market value of the real estate is provided as a point of reference. The applicable rate varies according to each municipality.