Zona Franca de Iquique Taking Advantage Of It!
There are some commercial and tax advantages when using the Iquique Tax Free Zone, that is, the 'Zona Franca De Iquique'. Any company providing a product in Chile, especially to the mining industry, should take some time to understand if the free trade zone could be beneficial to their specific circumstances.
From a commercial perspective, having product stored in the free trade zone can decrease delivery time to customers for not only Chile but also to Bolivia, Southern Peru and Argentina. As many of the mine sites are remote, having the ability to dispatch product quickly can be the difference between winning a contract or not.
Companies with light corporate structures in Chile can also benefit from the different companies that offer warehousing and inventory control within the Zone Franca. This can save companies from having to hire employees to manage the merchandise and keep costs to a minimum.
From a tax perspective, companies must pay 19% IVA ( Also know as VAT or GST) when importing into Chile. When bringing imports into the Iquique Tax Free Zone, companies...
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