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Start here: the legal gateways every foreign investor crosses in Chile

Last verified: 2026-10-25 · Status: Changing

Chile gives foreign investors the same legal treatment as locals, the right to remit capital and net profits once taxes are paid, and access to the formal FX market at a freely agreed rate. To operate, a foreign investor gets a tax ID (RUT) through a representative in Chile, forms a company in the free online registry or opens a registered branch, and files its start of activities with the SII within two months. Corporate tax is 27 percent for 2026 and is legislated to fall to 23 percent from 2029, with a new tax stability contract for projects of US$50 million or more.

USD figures use the dólar observado of CLP 972.60 per US dollar for 1 October 2026, the latest value shown in the SII dólar observado table on the verification date. Thresholds set in US dollars by the law are quoted as written; conversions are for orientation only.

Key facts

Corporate income tax, general first category rate (commercial year 2026)	27 %Ley Nº 21.850, sixth transitory article, as of 2026-10-25 · in force
Corporate income tax, general rate legislated from commercial year 2029	23 %Ley Nº 21.850, sixth transitory article, as of 2026-10-25 · pending
Additional tax on dividends and remitted profits to non residents (before first category tax credit)	35 %DL Nº 824, art. 58 Nº 1 and Nº 2, art. 60 and art. 63, as of 2026-10-25 · in force
VAT standard rate	19 %DL Nº 825, art. 14, as of 2026-10-25 · in force
Minimum transfer to qualify as foreign direct investment under the framework law	5000000 USDLey Nº 20.848, art. 2, as of 2026-10-25 · in force
Deadline for InvestChile to issue the foreign investor certificate	15 daysLey Nº 20.848, art. 4, as of 2026-10-25 · in force
Minimum investment for a tax stability contract	50000000 USDLey Nº 21.850, art. 26, as of 2026-10-25 · pending
Access to the formal FX market to remit capital and net profits	Free, at a freely agreed rate, after taxes; subject to Banco Central de Chile powers Ley Nº 20.848, art. 5, art. 6 and art. 7, as of 2026-10-25 · in force
Fee to register a company in the Registro de Empresas y Sociedades	0 CLPLey Nº 20.659, art. 11, as of 2026-10-25 · in force
Deadline to file start of activities with the SII	2 monthsDL Nº 830 (Código Tributario), art. 68, as of 2026-10-25 · in force
Deadline to register and publish a foreign corporation's agency extract after protocolization	60 daysLey Nº 18.046, art. 123, as of 2026-10-25 · in force

The rule

1. Foreign direct investment under the framework law means a transfer to Chile of foreign capital or assets owned by a foreign investor of US$5,000,000 or more (or its equivalent), or an acquisition that gives the investor control of at least 10 percent of the voting shares of a Chilean company or an equivalent stake. A foreign investor is any individual or legal entity constituted abroad that is not resident or domiciled in Chile.
Cost to do it: No minimum is needed to invest in Chile; the US$5,000,000 threshold only defines who can access the framework law regime and its certificate.
Example: US$5,000,000 equals about CLP 4,863,000,000 at CLP 972.60 per US dollar. / A parent wiring US$4,000,000 of equity is a lawful investment but is below the US$5,000,000 threshold of art. 2 unless the stake acquired gives it 10 percent or more of the votes of the Chilean company.Ley Nº 20.848 (framework law for foreign direct investment, replacing DL 600), Art. 2 and art. 3, 2015-06-25 official text · verified 2026-10-25

2. A person who qualifies as a foreign investor may ask the Foreign Investment Promotion Agency (InvestChile, created by art. 15) for a certificate, which serves only to access the regime of Title I, paragraph 2 of the law. The applicant must show the investment has actually been made in Chile and describe its amount, purpose and nature. The Agency must issue the certificate within 15 days of the application.
Example: An investor that has contributed CLP 5,000,000,000 (about US$5.14 million) to its Chilean subsidiary can apply once the funds are in Chile; the Agency has 15 days to issue. / Contribution of US$5,140,000 already made; certificate expected within 15 days of a complete application.Ley Nº 20.848, Art. 4 and art. 15, 2015-06-25 official text · verified 2026-10-25

3. Foreign investors have the right to remit abroad the capital transferred and the net profits their investments generate, once all applicable Chilean tax obligations are met; the law sets no minimum holding period. They have the right to access the formal FX market to settle the currency of their investment and to obtain currency for remittances, at the exchange rate freely agreed by the parties. These operations remain subject to the powers of the Banco Central de Chile under its organic law.
Example: Net profit after Chilean taxes of CLP 97,260,000 may be remitted through a formal FX market entity at the rate agreed with that entity. / CLP 97,260,000 converts to about US$100,000 at CLP 972.60.Ley Nº 20.848, Art. 5, art. 6 and art. 7, 2015-06-25 official text · verified 2026-10-25

4. Imports of capital goods for projects of US$5,000,000 or more (mining, industrial, forestry, energy, infrastructure, telecommunications, research and technological, medical or scientific development, among others) can be exempt from VAT under art. 12, letter B, Nº 10 of DL 825. The current text covers both Chilean residents and those who qualify as foreign investors or companies receiving foreign investment under art. 3 of the framework law (Ley Nº 20.848); it no longer requires the InvestChile certificate. The project must generate income no earlier than two months after the first capital goods are imported or acquired (or after the environmental approval or land concession), a test cut to two months by Ley Nº 21.210 of 24 February 2020. The applicant files with the Ministry of Finance; if the Ministry does not decide within 60 calendar days of receiving all documents, the request is deemed approved.
Cost to do it: Saves the 19 percent VAT (DL 825 art. 14) that would otherwise be paid on import of the qualifying capital goods.
Example: Imported equipment with a VAT base of CLP 972,600,000 would bear CLP 184,794,000 of VAT at 19 percent; with an approved exemption that cash is not paid at import. / Equipment worth about US$1,000,000: about US$190,000 of import VAT avoided.DL Nº 825 (VAT law) art. 12, letter B, Nº 10, as amended by Ley Nº 20.848, Ley Nº 20.899 and Ley Nº 21.210, DL 825 art. 12, letter B, Nº 10, 2020-02-24 official text · verified 2026-10-25

5. Foreign investors are subject to the same general legal regime that applies to domestic investors and may not be arbitrarily discriminated against, directly or indirectly.Ley Nº 20.848, Art. 9, 2015-06-25 official text · verified 2026-10-25

6. Individuals and entities subject to taxes must be registered in the Rol Único Tributario (RUT). Anyone who starts activities that may produce income taxed under the income tax law must file a sworn start of activities declaration with the SII within the two months following the month in which activities begin.
Example: A subsidiary that issues its first invoice in March 2027 must have filed start of activities by the end of May 2027.Decreto Ley Nº 830 (Código Tributario), Art. 66 and art. 68, 1974-12-31 official text · verified 2026-10-25

7. Limited liability companies (Ltda. and EIRL), closely held corporations (S.A. cerrada), stock companies (SpA) and other listed commercial companies may be formed, amended and dissolved through the electronic Registro de Empresas y Sociedades. The registry is unique nationwide, public and free of charge and is run by the Ministry of Economy. On registration, the SII assigns the company a RUT without further formalities.
Cost to do it: Registry filing: CLP 0 (US$0) under art. 11. Notary fees for foreign powers of attorney, legalizations and translations, and local counsel fees are extra and vary by provider.
Example: Registry fee CLP 0. / Registry fee US$0.Ley Nº 20.659 (simplified incorporation, Empresa en un Día), Art. 1, art. 2, art. 11 and art. 13, 2013-02-08 official text · verified 2026-10-25

8. A foreign corporation opening an agency (branch) in Chile must protocolize, before a notary at the agency's domicile, legalized and translated proof of its valid existence, its bylaws and a general power to an agent who acts under the direct responsibility of the company. The agent signs a public deed declaring, among other things, the capital assigned to Chile, that the company's assets are subject to Chilean law and that it will keep easily realizable assets in Chile. An extract must be registered in the Commercial Registry and published once in the Diario Oficial within 60 days of the protocolization.
Cost to do it: Notary, Commercial Registry and Diario Oficial publication fees apply; amounts depend on the notary and registry and are not set in the law.Ley Nº 18.046 (Corporations Law), Art. 121, art. 122 and art. 123, 1981-10-21 official text · verified 2026-10-25

9. The general corporate income tax (first category) rate falls in steps: 27 percent for income accrued or received in commercial year 2026, 25.5 percent in 2027, 24 percent in 2028 and 23 percent from commercial year 2029. The 27 and 25.5 percent steps do not apply to taxpayers under art. 14, letter G of the income tax law.
Example: Taxable profit of CLP 1,000,000,000: tax of CLP 270,000,000 for 2026, CLP 255,000,000 for 2027, CLP 240,000,000 for 2028 and CLP 230,000,000 from 2029. / Taxable profit of about US$1,028,000: tax of about US$277,600 in 2026 falling to about US$236,500 from 2029.Ley Nº 21.850 (National Reconstruction and Economic and Social Development Law), Sixth transitory article, 2026-10-17 official text · verified 2026-10-25 · changed: Ley Nº 21.850, promulgated 9 October 2026 and published in the Diario Oficial on 17 October 2026, legislated a gradual cut of the general corporate rate from 27 percent to 23 percent by commercial year 2029.

10. A new tax stability (invariabilidad) regime from 1 January 2027, or the law's entry into force if later, lets holders of foreign investments of at least US$50 million sign a contract that freezes the rate, base and other elements of the tax in force at the contract date, including depreciation, loss carryforward and start up cost rules. Terms run from the start of operations: 10 years for US$50 million to under US$100 million, 15 years for US$100 million to under US$350 million and 20 years for US$350 million or more. Investment counts capital and debt actually deployed; related party debt above three times tax equity at a year end ends the stability. The price is a first category rate 1.5 percentage points higher than the frozen rate. Investors domiciled in Chile can access a similar regime.
Cost to do it: Premium of 1.5 percentage points on the contracted first category rate for the life of the contract.
Example: Minimum investment of US$50 million is about CLP 48,630,000,000; the 20 year tier at US$350 million is about CLP 340,410,000,000. / A US$120 million project falls in the 15 year tier.Ley Nº 21.850, Art. 26, 2026-10-17 official text · verified 2026-10-25 · changed: Created by Ley Nº 21.850, published in the Diario Oficial on 17 October 2026, with application from 1 January 2027.

11. Persons without domicile or residence in Chile pay additional tax (impuesto adicional) at 35 percent on profits that Chilean corporations attribute or distribute to them as shareholders (art. 58 Nº 2), on profits withdrawn or remitted by a permanent establishment (art. 58 Nº 1) and on other Chilean source income not taxed under arts. 58 and 59 (art. 60), with a credit for first category tax under art. 63. VAT applies at 19 percent.Decreto Ley Nº 824 (Ley sobre Impuesto a la Renta); Decreto Ley Nº 825 (Ley sobre Impuesto a las Ventas y Servicios), DL 824 art. 58 Nº 1 and Nº 2, art. 60 and art. 63; DL 825 art. 14, 1974-12-31 official text · verified 2026-10-25

12. Chile and Argentina have a treaty to eliminate double taxation on income and capital, signed 15 May 2015 and modified by the OECD Multilateral Instrument. In Chile the MLI changes apply to withholding taxes on events from 1 January 2026 and to other taxes for periods starting on or after 1 January 2027. Investors with Argentine parents or operations should check both the treaty and the Argentine side of the rules (see the Argentine guide).Convenio Chile Argentina para eliminar la doble imposición (2015), as modified by the Multilateral Convention (MLI), Synthesized text prepared by the Chilean competent authority; MLI effect dates, 2015-05-15 official text · verified 2026-10-25

Commercial year	General rate	Tax on CLP 1,000,000,000	Approx. USD
2026	27%	CLP 270,000,000	US$277,600
2027	25.5%	CLP 255,000,000	US$262,200
2028	24%	CLP 240,000,000	US$246,800
2029 onward	23%	CLP 230,000,000	US$236,500

Corporate income tax schedule under Ley Nº 21.850, sixth transitory article, with tax on CLP 1,000,000,000 of taxable profit. USD at CLP 972.60 (dólar observado, 1 October 2026), for orientation only.

Investment	Approx. CLP	Stability term	Cost
US$50 million to under US$100 million	CLP 48.63 billion to under CLP 97.26 billion	10 years from start of operations	Contracted rate plus 1.5 points
US$100 million to under US$350 million	CLP 97.26 billion to under CLP 340.41 billion	15 years from start of operations	Contracted rate plus 1.5 points
US$350 million or more	CLP 340.41 billion or more	20 years from start of operations	Contracted rate plus 1.5 points

Tax stability contract tiers under Ley Nº 21.850, art. 26 (from 1 January 2027). CLP at CLP 972.60 per US dollar, for orientation only.

Worked example

A foreign parent forms a Chilean SpA through the online Registro de Empresas y Sociedades (fee CLP 0 under Ley Nº 20.659 art. 11) and receives the company's RUT on registration (art. 13).
It wires US$6,000,000 of equity, about CLP 5,835,600,000 at CLP 972.60. Because this exceeds US$5,000,000, the investment qualifies under Ley Nº 20.848 art. 2 and the parent can request the InvestChile certificate, to be issued within 15 days (art. 4).
The subsidiary imports production equipment with a VAT base of CLP 972,600,000 (about US$1,000,000) for a qualifying project of US$5,000,000 or more and, with Ministry of Finance approval, avoids CLP 184,794,000 (about US$190,000) of import VAT (DL 825 art. 12 B Nº 10 and art. 14).
If it earns taxable profit of CLP 1,000,000,000 (about US$1,028,000) it pays first category tax of CLP 270,000,000 for 2026 and CLP 230,000,000 from 2029 (Ley Nº 21.850, sixth transitory article). Profits distributed to the parent bear 35 percent additional tax with a credit for first category tax (DL 824 art. 58, 60 and 63); see the taxes section for the full calculation and treaty relief.

Step by step

1. Decide the vehicle: a Chilean company (SpA, Ltda. or S.A. cerrada) formed online under Ley Nº 20.659, with the RUT assigned on registration; or an agency of the foreign company under Ley Nº 18.046 arts. 121 to 123, which needs notarized, legalized and translated documents and must be registered and published within 60 days of protocolization.
2. Appoint a representative domiciled or resident in Chile with sufficient powers. SII form F4415.1 for persons without residence states that powers granted abroad must be endorsed by the Chilean consul and legalized before the Ministry of Foreign Affairs, and asks for shareholders, partners and beneficiaries of the foreign entity.
3. Obtain a RUT for the foreign shareholder (Código Tributario art. 66) using form F4415.1, then form or register the Chilean vehicle.
4. File start of activities with the SII within two months of the month activities begin (Código Tributario art. 68).
5. Wire capital through an entity of the formal FX market (Ley Nº 20.848 art. 6). Investments of US$5,000,000 or more can then apply for the InvestChile certificate (art. 4).
6. If importing capital goods for a US$5,000,000 or larger project, apply to the Ministry of Finance for the VAT exemption before import; no InvestChile certificate is needed, and silence after 60 days counts as approval (DL 825 art. 12 B Nº 10).
7. For projects of US$50 million or more, assess the tax stability contract available from 1 January 2027 (Ley Nº 21.850 art. 26) before committing the investment schedule.
8. Calendar the corporate rate steps (25.5 percent in 2027, 24 percent in 2028, 23 percent from 2029) in your models.

Common traps

Treating the US$5,000,000 threshold as a minimum to invest. It is not; it only controls access to the framework law certificate (Ley Nº 20.848 arts. 2 and 4) and the project size for the capital goods VAT exemption (DL 825 art. 12 B Nº 10).
Applying for the certificate before the money arrives. The applicant must show the investment has already been made in Chile (art. 4).
Unlegalized powers of attorney. A power granted abroad without consular endorsement and Foreign Ministry legalization is not accepted for the RUT and start of activities filing (SII form F4415.1).
Missing the two month start of activities window (Código Tributario art. 68).
Branch formalities out of time. The agency extract must be registered and published within 60 days of protocolization (Ley Nº 18.046 art. 123), and the foreign company commits to keep easily realizable assets in Chile (art. 122).
Assuming the stability contract is free. It costs 1.5 extra points of first category tax for its whole term, and related party debt above three times tax equity at a year end ends it (Ley Nº 21.850 art. 26). Price the trade off against the scheduled rate cut to 23 percent.
Assuming the 27 percent rate holds. Ley Nº 21.850 cuts it each year to 23 percent from 2029; deferred tax balances and transfer pricing models need updating.

Sources

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