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Notice from the Central Bank of Venezuela - Applicable rate of exchange for tax purposes

Official Gazette No. 40,450 of July 9, 2014, published an Official Notice of the Central Bank of Venezuela which informed the National Integrated Service of Tax and Customs Administration (“SENIAT”) and the general public, that the rate of exchange of Bs. 6,30 per US$. 1.00 shall be the rate of exchange applicable for the conversion of foreign currency for purposes of the determination of the taxable basis of the tax obligations arising from customs operations of (i) Petróleos de Venezuela, S. A. (“PDVSA”) and its affiliate companies, as well as by mixed companies created in accordance with what is foreseen in the Organic Law of Hydrocarbons, when performed by the same on their own account and by reason of the principal activity of the oil industry, and (ii) the exclusive suppliers in the national territory of specialized goods to PDVSA, its affiliate companies, as well as those aforementioned mixed companies for imports destined to such subjects, and which payment has been agreed in foreign currency.

 

The same rate shall apply to the determination of the taxable basis of tax obligations arising from the import operations, handled with financing granted by the Banco de Comercio Exterior (“BANCOEX”), as well as the custom operations made by the public sector regardless of the financing source of the same.

 

Should you have any question or comment or require further information, please contact the partner in charge of your account.

 

In order to access the Official Notice, please click here.

 

“NOTE: THIS INFORMATION SHOULD NOT BE CONSTRUED AS LEGAL ADVICE ON ANY SPECIFIC MATTER AND ITS CONTENT ARE INTENDED AS A MANAGEMENT ALERT AS TO CURRENT DEVELOPMENTS IN VENEZUELA, ANY SPECIFIC LEGAL QUESTIONS REGARDING THE POSSIBLE APPLICATION OF NEW OR PROPOSED LEGISLATION TO PARTICULAR SITUATIONS SHOULD BE ADDRESSED TO TRAVIESO EVANS ARRIA RENGEL & PAZ."