ECUADOR PROPERTY TAXES (REAL ESTATE)
As in any country in the world, Ecuador is no exception to pay annual property taxes, it is common that Ecuador's local governments (Municipios) give a discount to those who pay their taxes at the beginning of the year, normally this discount is 10 % in January and successively this discount will decrease until the month of July where those who come to pay their taxes must do so without being beneficiaries of any type of discount.
In spite of this, the law contemplates the exemption of the payment of annual property taxes (Impuesto Predial) to people over 65 years old as long as they meet a couple of conditions, which are: not having an income above minimum wage (Salario básico unificado) and have a personal wealth that does not exceed 500 minimum wages.
In Ecuador on average $3,00 USD are paid for each thousand USD of the property’s municipal appraisal in urban areas, while in rural areas the value paid is USD 2 per thousand USD of appraisal.
Here is a comparison of property taxes in countries of the region.
Colombia 0.3% to 3.33%
Uruguay 0.25% to 1.2%
Panama 0% to 2.1%
The above percentages are calculated based on the government assessment.
The EcuaAssist Team