ECONOMIC MEASURES TAKEN BY THE GOVERNMENT OF EL SALVADOR TO MITIGATE THE ECONOMIC IMPACT CAUSED BY THE GLOBAL COVID-19 PANDEMIC.

DECREE 601.-POSTFERGATION OF PAYMENT TO ELECTRICAL ENERGY DISTRIBUTORS, TELEVISION, INTERNET AND TELEPHONE SERVICE PROVIDERS.

The purpose of the decree is to defer the payment of bills for drinking water, electricity and telecommunications services (cable, Internet and telephone). The provision applies to invoices for the months of March, April and May 2020, which will be paid within a period of up to 12 months.

The beneficiaries of this decree will be natural or legal persons and municipalities that have experienced a decrease in their income directly due to the partial or total closures that have gradually been established as measures to contain the entry and expansion of the coronavirus.

APP EXCLUSIONS:

• Exclusive benefit for natural or legal persons who have experienced a decrease in income directly due to the established partial or total closures;
• Municipal taxes charged to the electricity bill.
• In the case of natural persons, these benefits will only be applied if they have a consumption of up to 200/Kwh month;
• The Ministry of Economy and the Ministry of Finance will develop the relevant administrative provisions for the application of this decree.

 

DECREE 603.- TRANSITIONAL PROVISIONS TO SIMPLIFY DONATIONS OF GOODS BY COMPANIES REGULATED UNDER THE INDUSTRIAL AND MARKETING FREE ZONE LAW.

They are declared exempt from the payment of customs duties on imports, from the Tax on the Transfer of Movable Property, and from the provision of services and any other type of taxes of a fiscal or municipal nature that may apply to all those goods that are interned to be DONATED. to the Government of the Republic, Municipal Councils and public and private, non-profit, humanitarian, educational or other community services institutions for the benefit of people affected by the national emergency of COVID-19.

DECREE 604.- MODIFICATION OF THE CENTRAL AMERICAN IMPORT TARIFF

It consists of taking urgent and temporary measures, aimed at ensuring the supply for the population of essential food products, as well as medications for respiratory diseases, hygiene and cleaning products required under the current circumstances, so that they can be purchased at adequate prices and reasonable, so that no harm is caused to consumers or local production.

The Central American import tariff was modified as follows:

CODE	DESCRIPTION	DAI
0402.21.21.00	— In containers with a net content of less than 5 kg	0
0713.33.40.00	Red Bean	0 For a quota of 25,000 MT
1006.30.90.00	- Others	0 For a quota of 7,500 MT
1101.00.00.00	WHEAT OR MORCAJO FLOUR (TRANQUILLON)	0
1102.20.00.00	- Cornmeal	0
11.02.90.30.00	- Rice flour	0
2005.10.00.00	– Homogenized vegetables	0
2005.59.00.00	- Others	0
2007.10.00.00	– Homogenized preparations	0
2104.20.00.00	– Homogenized compound food preparations	0
2106.90.79.00	- The others	0
2828.90.10.00	— Sodium Hypochlorite	0
3004.20.10.00	— For human use	0
3004.32.10.00	— For human use	0
3004.50.10.00	— For human use	0
3004.90.11.00	— For human use	0
3004.90.91.00	— For human use	0
3401.11.11.00	—- Medicinal, except disinfectant	0
3401.11.19.00	- Others	0
3401.11.20.00	— Organic surfactant products and preparations, used as soap	0
3401.11.30.00	— Paper, wadding, felt and non-woven fabric, impregnated, coated or coated with soap or detergents.	0
3401.19.00.00	- Others	0
3401.20.10.00	—Liquid soap, medicated (except disinfectant)	0
3401.20.90.00	- Others	0
3401.30.00.00	— Organic surface-active products and preparations for washing the skin, liquid or cream, put up for retail sale, whether or not containing soap	0
3402.20.00.00	– Preparations put up for retail sale	0
3402.90.20.00	– Washing preparations and cleaning preparations	0
3808.94.10.00	— Based on pine oil and quaternary ammonium surfactants	0
3808.94.90.00	- Others	0
4015.19.00.00	- Others	0
9619.00.10.00	- Of plastic	0
9619.00.29.00	- Others	0
9619.00.39.00	- Others	0
9619.00.40.00	– Textile, knitted	0
9619.00.90.00	- Others	0

DECREE 605.-ONLINE PURCHASE FACILITATION LAW.

It will apply to the definitive importation into the Salvadoran customs territory of goods or merchandise, of a non-commercial nature, made by natural persons online, from the United States, under the modalities of rapid or courier delivery, postal shipments, small family shipments and managers of Parcels by air, which have a value less than $200, will not be subject to the payment of customs duties upon import, and will be exempt from non-tariff requirements.

EXCEPTIONS TO THIS BENEFIT:

• Definitive import of prescription medications and medical supplies for human and veterinary use.
• Chemical strikers stipulated in the United Nations Convention against Illicit Traffic in Narcotic Drugs and Psychotropic Substances;
• Firearms, ammunition, explosives and related materials.

We remain at your disposal should you need additional information about any of the measures set out in this summary.

Roberto Pocasangre