Business Reforms in Costa Rica
= Doing Business reform making it easier to do business. = Change making it more difficult to do business.
Registering Property: Costa Rica decreased the time needed to transfer a property through several measures, including the introduction of effective time limits.
Protecting Minority Investors: Costa Rica strengthened minority investor protections by allowing greater access to corporate information before and during trial and enhancing disclosure requirements, but weakened shareholder rights in certain major transactions.
Getting Electricity: The utility in Costa Rica made getting electricity easier by reducing the time required for preparing the design of the external connection works and for installing the meter and initiating the electricity supply.In addition, Costa Rica introduced a new law aimed at curbing power outages through the introduction of a compensation scheme for customers impacted by blackouts.
Getting Credit: Costa Rica improved access to credit by adopting a new secured transactions law that establishes a functional secured transactions system and a modern, centralized, notice-based collateral registry. The law broadens the range of assets that can be used as collateral, allows a general description of assets granted as collateral and allows out-of-court enforcement of collateral.
Paying Taxes: Costa Rica made paying taxes easier for companies by promoting the use of its electronic filing and payment system for corporate income tax and general sales tax.
Getting Electricity: Costa Rica reduced the time required for getting electricity by improving the coordination between different departments at the utility.
Paying Taxes: Costa Rica made paying taxes easier for companies by implementing an electronic system for filing corporate income tax and VAT.
Starting a Business: Costa Rica made starting a business easier by creating an online platform for business registration, eliminating the requirement to have accounting books legalized and simplifying the legalization of company books.
Dealing with Construction Permits: Costa Rica made dealing with construction permits easier by eliminating procedures, improving efficiency and launching an online platform that streamlined the building permit process by integrating different agencies’ approval processes.
Starting a Business: Costa Rica made starting a business easier by streamlining the process of obtaining a sanitary permit from the authorities for low-risk activities.
Dealing with Construction Permits: Costa Rica streamlined the process for obtaining construction permits by implementing online approval systems.
Getting Credit: Costa Rica improved access to credit information by guaranteeing borrowers’ right to inspect their personal data.
Paying Taxes: Costa Rica made paying taxes easier for companies by implementing electronic payment for municipal taxes—though it also introduced a registration flat tax.
Registering Property: Costa Rica made transferring property easier and quicker by making property certificates available online through a single website.
Paying Taxes: In Costa Rica online payment of social security contributions is now widespread and used by the majority of taxpayers.
Enforcing Contracts: Costa Rica improved its contract enforcement system by allowing new modes of delivery of service and by simplifying auction procedures by authorizing the publication of a single auction notice.
Starting a Business: Costa Rica reduced the time required to start a business by digitizing tax registration records and company books.
Trading across Borders: Costa Rica made trading across borders easier by improving its electronic data interchange system and allowing electronic submission of cargo manifests before arrival of the goods.