VAT / IVA calculator

VAT (Impuesto al Valor Agregado — Value Added Tax) is an indirect tax on the consumption of goods and services in Chile. The 19% rate was established in 2003 (Law 19.888) and applies to the net amount of virtually all taxable sales and services. It is the SII's main revenue tax and represents a significant portion of the country's fiscal income.

The net amount is the value of the good or service before adding VAT — the taxable base. The gross amount (or total with VAT) is the final price paid by the consumer, which includes the net plus 19% VAT. On invoices, the net is what the seller charges for the product; the VAT is the tax the seller collects and then declares to the SII.

To extract the net from a gross (VAT-inclusive) price, divide the gross by 1.19. For example: if a product costs $119,000 with VAT, the net is $119,000 ÷ 1.19 = $100,000, and the VAT is $19,000. Common mistake: do not apply 19% directly to the gross — that calculation gives the wrong result ($119,000 × 19% = $22,610, not $19,000).

Some transactions are VAT-exempt under article 12 of DL 825. The most common are: export of goods and services, unfurnished property rentals, sale of real estate by individuals without a regular business, medications and certain basic products, and educational services from accredited institutions. For specific transactions, always consult the SII or an accountant directly.