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Costa Rica: Domestic Corporate Taxation

Social Security Taxes

The employer pays a contribution of up to 26.17% of gross salary, whereas the employee pays a contribution of up to 9.17% of gross salary.

Self employed persons are also required to contribute to this fund at a rate of 9.5%. Foreigners temporarily working in Costa Rica are not exempted from the requirement to pay this tax, even though it is evident they can never benefit from it.

Employers are required to insure their employees against accidents at work and various other contingencies. Depending on the monthly salary and the nature of the risk, premiums can vary from .5% to 22% of the employee's salary.

Total employer contributions can therefore reach a scary 48% of gross salary.



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