Felipe Rodríguez
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Jul 16, 2026
Episode 21: Payroll in Chile
15:20
F
12:24Felipe RodriguezGUEST
But here in Chile, you must tax the income in the month that was generated.
F
12:30Felipe RodriguezGUEST
So if you are paying performance bonus for last year, you should go back, reopen that tax calculation for every month that you are recognizing, prorated that portion of the bonus each month and recalculated the taxes of every passive payment that you already have.
F
12:48Felipe RodriguezGUEST
So you sum up all those different tax and you pay the difference in the month that you are paying the bonus.
F
12:55Felipe RodriguezGUEST
So that calculation, which is really complex, it is really outed by the tax authority because it's an employee benefit.
F
13:04Felipe RodriguezGUEST
And if you just tax a bonus that is for a performance of a past period and you just tax that in the month of the payment, you are not complying with the legality.
F
13:17Felipe RodriguezGUEST
And I think that is a big consideration that foreign companies should have in mind when they pay bonuses.

Andrea MollenhauerGUEST
And then private sector, for example, there are hiring bonuses, for example, for employees that want to go there, and tax benefits, which are the ones that Felipe was explaining, and different investment benefits for these people who live and work there.
