Chile, located in the west of South America, occupies the long strip of land between the Andes Mountains and Pacific Ocean and has a very diverse climate. One of Chile’s key attractions is its multi-ethnic society, home to people of many different ethnic backgrounds.
With Santiago as its capital, Chile is one of South America’s most prosperous and stable nations and ranks highly in areas like competitiveness, human development, income per capital, state of peace, globalization, and is perceived to have minimal corruption amongst the leaders.
Copper is the most valuable resource of Chile. It is the world largest exporter of copper but this dependence of the economy on copper prices could also be Chile’s main economic risk.
In addition to minerals, Chile also exports fish products, fruit, chemicals, paper and wine. Chile can match its neighbors with one of the most advanced telecommunication infrastructures in South America.
Contracting in Latin America is not a simple task and has many on-costs for employers. Most in country tax laws do not recognise contractors per se, hence contract workers may need to be remunerated as employees, taxes withheld and paid to various city, state and federal governments, and reserve funds held for other entitlements until end of contract. Please contact CXC Global for professional advice on the specific legislation applying in the country in order to facilitate contractors and foreign nationals working in Chile. Forward planning is of the essence to optimize costs. Chile has entered into Double Taxation Treaties with other countries.
For foreign national contract workers, contracting in Chile, it would be wise to consult with CXC Global on the best way to structure, and how best to balance your taxation.
With our extensive experience and expertise in contractor management, and assisting organisations with their contingent workforce, CXC Global has the resources and solutions to manage the administration process associated with contracting in Chile, facilitating accounting services and administration, local tax calculations, social security registration, tax balancing and preparation of personal income tax return at the end of the tax year.