This Resolution issued by the Internal Revenue Service (SII by its acronym in Spanish, Servicio de Impuestos Internos) in March 2025 nullifies Resolutions Nº 68 of 2013 and Nº 114 of 2022, which had the same purpose. This update is aligned with Tax Compliance Law Nº 21,713 of September 25, 2024.
The procedure for the subscription of APAs is fully detailed in the Resolution and includes specifics from a voluntary consultation prior to the formal request for the signing of an APA, to its possible acceptance, denial, or renewal determined by the SII. In addition, the deadlines and formal requirements are detailed, specifying the information and background data that both the request and the Transfer Pricing Report must contain.
During the process, the SII may request clarifications or meetings and may offer an alternative proposal regarding the transaction(s) being requested, in order to agree on the price, value, or profitability that best complies with the arm’s length principle.
On the other hand, applications involving foreign tax authorities, whether bilateral or multilateral, will be governed by the rules set forth in the aforementioned Resolution.
An important issue concerns the retroactive application of the APA, as the parties may agree that its effects extend to transactions carried out up to three business years prior to the date in which the Agreement is signed.
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