Countries › Costa Rica › Guide › 3. Investing › Tourism incentives in Costa Rica: the ICT tourism contract under Ley 6990, what it still exempts and the tenfold misuse fine

Tourism incentives in Costa Rica: the ICT tourism contract under Ley 6990, what it still exempts and the tenfold misuse fine

Last verified: 2026-10-29 · Status: Changing

Hotels, tourist air and water transport, inbound travel agencies, car rental for tourists and accredited accessible tourism businesses can sign a tourism contract with the Instituto Costarricense de Turismo (ICT) for incentives under Ley 6990 of 1985. What remains after later tax laws is mainly import and local purchase exemptions on goods for a hotel's initial investment, accelerated depreciation, a six year property tax exemption outside the metropolitan region, partial duty relief on tourist vessels, buses and rental cars, and fast municipal licences. Misusing exempt goods costs ten times the exemption, and since April 2026 new hotel and marina contracts must make room for Costa Rican cultural workers.

USD figures use the Banco Central de Costa Rica reference selling rate of ₡454.82 per US dollar published for 29 October 2026 (indicator 318 on bccr.fi.cr), rounded to the cent. Amounts set in salarios base use the 2026 salario base of ₡462,200 (Circular 246-2025 of the Consejo Superior del Poder Judicial, under Ley 7337 art. 2).

Key facts

Property tax exemption for contracted hotels outside the metropolitan region	6 yearsLey 6990 art. 7(a)(v), as of 2026-10-29 · in force
Share of import taxes exempted on rental cars for tourists	50 %Ley 6990 art. 7(d), as of 2026-10-29 · in force
Import duty that still applies to exempt tourist vessels	20 %Ley 6990 art. 7(c)(iii), as of 2026-10-29 · in force
Fine for misuse of exempt goods	10 times the exemptionLey 6990 art. 14, as of 2026-10-29 · in force
Maximum time for a municipality to grant a contracted hotel's licence	30 calendar daysLey 6990 art. 7(a)(iii), as of 2026-10-29 · in force

The rule

1. The law covers hotel services, international and domestic air transport of tourists, water transport of tourists, inbound tourism by travel agencies dedicated exclusively to it, car rental to tourists and businesses accredited under the tourism for all programme.Ley 6990 as amended by Ley 7293 and Ley 10528, art. 3, 2024-10-02 official text · verified 2026-10-29

2. Incentives are granted by the ICT through a tourism contract after approval of the tourism regulatory commission (ICT, Hacienda, the industry ministry and two private sector members); the contract sets the benefits, obligations and guarantees. Existing businesses, new projects and expansions or remodelling qualify, judged on balance of payments, use of local inputs, jobs, regional development, diversification and demand.Ley 6990, art. 4, 5 and 6, 1985-07-15 official text · verified 2026-10-29

3. Hotels that obtain the benefits for the first time and offer artistic, cultural, craft or culinary spaces, and marinas, must guarantee full participation of Costa Rican cultural workers, with priority for Costa Rican performing arts; the ICT supervises compliance.Ley 6990, art. 6 bis added by Ley 10884 (La Gaceta 71, Alcance 39, 20 Apr 2026), art. 6 bis, 2026-03-16 official text · verified 2026-10-29 · changed: Ley 10884 of 16 March 2026, in force 20 April 2026, added art. 6 bis making Costa Rican cultural participation a requirement for new hotel and marina tourism contracts.

4. Hotels may receive an exemption from all taxes and surcharges on imports or local purchases of articles indispensable to install or run new businesses or new services and to build, expand or remodel the building, except vehicles and fuel and goods made in Central America on equal terms. Ley 8114 of 2001 limits this to the initial investment to put each project into operation; later additions, expansions, remodelling and equipment pay sales tax with input credit. The sales tax exemptions in art. 7 were repealed by Ley 8114 art. 17(b), per the SCIJ notes.Ley 6990 art. 7(a)(i); Ley 8114 art. 17(b) and 18, art. 7(a)(i), 2001-07-04 official text · verified 2026-10-29

5. Hotels may also get accelerated depreciation under the income tax law, municipal licences within 30 calendar days of application (never for gaming rooms barred by other laws), and an exemption from property tax for up to six years from signing for establishments outside the metropolitan region.Ley 6990, art. 7(a)(ii), (iii) and (v), 1992-03-31 official text · verified 2026-10-29

6. Water transport: exemption on goods for docks, marinas, beach facilities and aquariums, and on vessels used only to carry tourists except import duties fixed at 20 percent; domestic tourist cabotage between Costa Rican ports is reserved to national flag yachts and cruise type vessels. Inbound travel agencies: exemption on buses for at least 15 passengers except duties, with any ad valorem rate above 5 percent exempted. Car rental: 50 percent of import taxes on vehicles rented only to tourists, licensed by the ICT and renewed at least every three years.
Example: A rental company importing a vehicle with ₡10,000,000 of import taxes pays ₡5,000,000. / About US$10,993.36 saved on US$21,986.72 of taxes per vehicle.Ley 6990, art. 7(c), (ch) and (d), 1992-03-31 official text · verified 2026-10-29

7. The ICT and Hacienda supervise compliance. Failing the quality and price level of the category granted lets the ICT cancel the benefits. Selling, leasing, lending or diverting exempt goods is fined ten times the value of the exemption, and exempt goods may be transferred to non beneficiaries only after paying the taxes.
Cost to do it: Misuse fine of ten times the exemption.
Example: Selling exempt hotel furniture whose exemption was ₡3,000,000 exposes the hotel to a ₡30,000,000 fine. / About US$65,960 fine on a US$6,596 exemption.Ley 6990, art. 7 (last paragraph), 12, 13 and 14, 1985-07-15 official text · verified 2026-10-29

8. The law does not affect the 50 metre public zone of the maritime terrestrial zone; in the restricted zone the commission may authorise tourism facilities only in very qualified cases, and concessions cannot block public access to the public zone.Ley 6990, art. 16 and 17, 1985-07-15 official text · verified 2026-10-29

Worked example

A ₡6,822,300,000 (US$15,000,000) eco lodge in Guanacaste signs an ICT tourism contract before construction. Its initial build out goods can be imported or bought locally with the art. 7(a)(i) exemption (not vehicles or fuel), and it can ask for a property tax exemption for six years from signing because it is outside the metropolitan region. A later spa expansion does not get the exemption under Ley 8114 art. 18 and pays VAT with input credit. If it opens a cultural show space, art. 6 bis requires participation of Costa Rican cultural workers.

Step by step

Obtain the ICT tourism declaration and category for the project.
Apply for the tourism contract before buying the initial investment goods, with the project plan and the information the commission evaluates.
Comply with art. 6 bis cultural participation for new hotel and marina contracts.
Process each exemption through Hacienda's exemption procedures and keep the goods in the declared use.
Keep the ICT category's quality and price standards to avoid cancellation.

Common traps

Only the initial investment of a hotel project is exempt; expansions and remodelling pay VAT.
Exempt goods cannot be sold, rented or diverted without paying the taxes, or the fine is ten times the exemption.
Several original incentives (sales tax, some income tax benefits, art. 11 financing) were repealed or suspended by later laws; check each benefit against the current SCIJ text and Hacienda's view before modelling it.
Tourism contracts do not override coastal zone rules: concessions in the restricted zone still need municipal and ICT approval and foreign ownership limits apply.

Sources

← Environmental assessment and project permits in Costa Rica: SETENA viability, impact categories, review times and the 1 percent guaranteeChoosing an entity in Costa Rica: sociedad anónima, sociedad de responsabilidad limitada, E.I.R.L. or branch of a foreign company →

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