2024-03-26 04:36:23
There are three channels for VAT refunds: In-person, virtual and automatic. Refund amounts will be higher from April 2024.
Senior Ecuadorians and foreigners residing in Ecuador, that is, those over 65 years of age, have the right to a refund of Value Added Tax (VAT). This is a benefit that applies only to purchases of goods and services for personal consumption made by older adults. Therefore, invoices must be issued in your name.
Starting in April 2024, when VAT is scheduled to rise from 12% to 15%, seniors will be able to request a monthly refund of up to USD 138. The maximum VAT refund rate each month is calculated by adding the value of two unified basic salaries (SBU) for the current year and to that value, the current VAT rate is applied, which from April will be 15%.
There are three channels for the refund of this tax:
In person.
Virtual.
Automatic channel.
If you are thinking about completing the process for a VAT refund, this is what you need to know to request it through each of the channels.
1: The presence option
The VAT refund in person at the offices of the Internal Revenue Service (SRI) is carried out only in the event that the older adult has physical invoices, that is, they were issued before November 2022.
Remember that since that month, electronic invoicing is mandatory in Ecuador. If you have physical receipts, these are the requirements that you must bring to the SRI counters to request a VAT refund:
Original banknote.
Original and copy of VAT refund request.
Original sales receipts for which you are going to request a tax refund.
To obtain the return request form, follow the following steps:
Enter the website: www.sri.gob.ec
On the left side, where it says: Catalog, click on the option: Information about my taxes.
Several options will be displayed on the right of the screen, choose the one that says: How do I request a refund of my taxes.
In the new screen that opens, click on the option: Tax Refund and then on the option: Value Added Tax (VAT) Refund.
Select the option: Formats and guides.
Click where it says: Application for the application of tax benefits through the window and then see the application format.
In the form you will have boxes to detail the monthly amount of VAT that you will request a refund, your personal and contact information, as well as the bank account number where you want the money to be deposited.
Fill it out, sign it, and take it to SRI.
2: The procedure in the name of a third party
Remember that if a trusted person is going to carry out the in-person procedure on behalf of the older adult, they must take the third-party authorization form to the SRI offices.
To generate this authorization, the older adult must have a username and an access code to the SRI online web portal, which can only be obtained in the SRI offices, in person.
This application must be signed by the older adult. If the authorization is not signed by the older adult, the authorized person must have a special power of attorney that allows them to act on their behalf. If you wish to carry out the third-party authorization process on the SRI portal, click on this link.
3: The virtual channel
Since October 2022, the SRI ordered that all VAT refund requests with electronic invoices be made through the virtual channel.
To do so, the older adult must obtain a username and password to enter the SRI online portal, attending the SRI offices in person only once. In this process, it is necessary for the older adult to have an email.
Once you have your username and password, follow these steps:
Enter your username and password at www.srienlinea.sri.gob.ec.
In the left menu, click Returns.
Then click on: VAT refund for older adults.
The system will show you a window to register the details of the bank account in which you want the refund to be credited.
Then a page will be displayed where you must choose the month and year of the invoices for which you want to request a VAT refund.
By doing so, the system will show all the electronic invoices issued in your name that are in the SRI system in that month.
On each invoice for which you wish to request a refund, you must detail the amount of VAT to be returned and click on the box that says: select. Remember to record decimals with a period and not a comma.
Choose the type of expense, for example, if it is a receipt for a lunch, detail the expense as: food.
Then click on process selected invoices and save selection made.
The portal will allow you to return to step 5 of this list, in case you wish to continue requesting a VAT refund for other months.
Repeat the process as many times as you need.
When you have finished, a button will appear that says: Send application.
The system will show you the summary of the number of receipts and the total of the VAT that you are requesting to be returned.
Next, click on the button that says: Upload information. The SRI will send a notification with the processing number, so all that remains is to wait for the money to be credited to the account.
4: Automatic return
The SRI also offers the benefit of automatic VAT refund, that is, when the older adult makes the purchase, VAT is not charged.
But this benefit is only enabled for purchases in some authorized establishments:
Santa María Supermarkets.
The Winery.
Favorite Corporation stores, such as Supermaxi, Megamaxi, Akí, Gran Akí, Juguetón.
Cruz Azul Pharmacies and Pharmacys.
El Coral Supermarkets.
To access the automatic refund on purchases, it is necessary for the taxpayer to have their username and password to access the SRI online web portal.
If you already have them, follow these steps:
Enter the website: www.sri.gob.ec
On the left side, where it says: Catalog, click on the option: Information about my taxes.
Several options will be displayed on the right of the screen, choose the one that says: How do I request a refund of my taxes.
On the new screen that opens, click on the option: Tax Refund and then on the option: Automatic refund of Value Added Tax (VAT) for older adults and people with disabilities.
Click on the button that says: Format and download the application for the automatic return code.
Fill out the form, sign it, and take it to an SRI agency. Don’t forget to bring, in addition to the original, a copy of the form and also your ID.
You will be notified through the mailbox in the SRI online portal, your code to request the automatic return.
When you go shopping, tell the cashier the code to apply the automatic refund.
By: PRIMICIAS