Published on Monday, November 4, 2024

By the A.M. Costa Rica staff

To avoid fines, about 1.9 million vehicle owners must pay the Marchamo tax in advance before January 1, 2025, announced the Institute of Insurance (INS).

The Marchamo is a compound tax on the right to drive a vehicle in Costa Rica. It is comparable to the United States' Road Use Tax, which is placed on vehicles to pay for road upkeep and infrastructure, among others.

The Ministry of Finance receives more than 60% of the tax as revenue. This tax is for 2025 and must be paid in advance once a year.

Vehicle owners may now obtain the information and determine the tax expense. The institute has allowed the Consulta/Marchamo website.  to determine the final tax payment amount.

Once on the site, the owner must input the vehicle's plate number. The system then provides information on the car value and the corresponding tax amount.

Ministry of Finance, is the state organization in charge to set the cost of vehicles. If the ministry calculates a more costly vehicle's price than the market value, there is a revision option by choosing the "Solicitud de Revision" or requesting a revision on the vehicle's value.

The online Complaint Form offers an opportunity to claim the vehicle's value. The complaint should include bills of proof such as the original invoice or agreement bill, as well as at least three car sales advertisements (of the same model, year, and style) with prices lower than those set by the ministry.

However, the ministry response may take several weeks.

Those interested in paying the tax can do it at the institute offices located in the country or through any local bank, whether public or private.

The institute also opened an 11-digit free phone line 800-6272-4266, where a sales executive will help you make the payment.

Another way to pay the tax is through the free app called INS24/7, which can be downloaded on any device, Google's Android or Apple's iOS.

After Jan. 1, 2025, late tax payments will incur an additional cost and traffic police can issue a $120 fine for nonpayment.

The  Institute of Insurance  (INS) is the state-owned agency of insurance services, including health, life, vehicles and natural disasters.

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What have you heard about expats having trouble paying the Marchamo tax?  We would like to know your thoughts on this story. Send your comments to news@amcostarica.com