Policy & Regulation
Tax reform, legislation, fiscal policy
92 articlesSRI Sets Mechanism For Tax On Undistributed Corporate Profits
Ecuador’s tax authority established the mechanism for declaring and paying the single tax on dividends or profits not distributed to shareholders. The rule applies to companies that have not distributed accumulated profits from prior years by July 31 of the current fiscal year.
SRI Shifts Commercial Transport Billing To Authorized Operators
Ecuador's SRI changed commercial transport billing rules from July 13, 2026. Heavy cargo, school, tourism, mixed, alternative and light cargo transport must now invoice clients through authorized operators, with 90 days to adapt electronic billing systems.
Guayaquil Business Chambers Challenge SRI 60% Credit-Note Limit
The Guayaquil Chamber of Industries and Guayaquil Chamber of Commerce challenged SRI Resolution NAC-DGERCGC26-00000015, which limits use of credit notes to 60% of the tax amount due from May 1, 2026. The chambers argue the measure hurts productive-sector liquidity.
Customs Reform Targets More Than 12,000 Abandoned Containers Per Year
Ecuador’s Economic Development Committee approved the second-debate report for a customs reform bill. The proposal targets abandoned cargo, including more than 12,000 containers per year and approximately USD 450 million in retained cargo value.
Ecuador Spends USD 148.4M On Public-Sector Severance In First Half
Ecuador spent USD 148.4 million in the first half of 2026 on public-sector severance, including layoffs, post suppressions, resignation purchases and voluntary retirement incentives. The amount is USD 60 million, or 68%, above the first half of 2025.
Decree 444 Adjusts Ecuador Fuel Bands With Five-Cent July Drop
Ecuador changed the fuel-price stabilization formula under Decree 444, leading to a five-cent reduction from July 12 for Extra, Ecopaís and diesel. Extra and Ecopaís fall from USD 3.31 to USD 3.26 per gallon, while diesel Premium falls from USD 3.25 to USD 3.20.
Ecuador PAI Spending Reaches USD 1.158B In First Half Of 2026
Ecuador’s public investment plan spending reached USD 1.158 billion in the first half of 2026, more than double the same period of 2025. The acceleration matters because the PAI is funded with internal and external debt.
CNE Receives 286 Complaints Against CPCCS Postulations For 2027 Vote
Ecuador’s electoral authority received 286 complaints against CPCCS postulations for the 2027 election cycle. The process now moves into review by the Verification Commission and a July 9-13 contradiction period.
Ecuador Regulates VIS Housing Donations With 100% Income-Tax Rebate Mechanism
Ecuador issued Decree 440 to regulate donations of social-interest housing by companies and individuals. Donors can claim a rebate equal to 100% of the donated value, capped at 30% of income tax caused for the year, with no refund or carryforward for excess amounts.
Ecuador Starts 30-Month Amazon Biocorridor Conservation Plan
Ecuador’s Environment and Energy Ministry launched the participatory conservation-planning process for the Amazon Biocorridor. The 30-month roadmap is linked to the country’s December 2024 debt-for-nature conversion and targets at least 1.8 million hectares and 18,000 kilometers of representative connected rivers.
Business Chamber Seeks Labor Ministry Clarification On June 26 Pay Treatment
Ecuador's Chamber of Industries and Production asked the Labor Ministry to clarify pay treatment for workers who labored on June 26, after Executive Decree 431 suspended the workday without recovery. Labor lawyers cited by the source argue the non-recoverable suspension creates a holiday-like payment consequence.
Ecuador Business Chambers Favor Dialogue Posture As Governance Questions Grow
Ecuador’s business chambers are avoiding broad public confrontation over governance controversies, with leaders pointing instead to institutional dialogue, legal certainty and caution before making accusations.
Assembly Orders 30-Day Review Of Progen Fund Transfers
The National Assembly unanimously ordered a review into the destination and route of funds transferred by Progen, with a 30-day report deadline. The case adds governance risk around public contracting and power-sector procurement.
UAFE Freezes Progen-Linked Accounts as USD 104M Generator Case Widens
Ecuador’s UAFE has frozen funds in accounts associated with private actors linked to the Progen generator-contract case. The government says investigators are tracing USD 104M paid to Progen, including 89 transactions and a reported USD 15.2M transfer to Astrobryxa.
SuperCías Information-Access Reform Raises Corporate Confidentiality Risk
Ecuador’s Superintendencia de Compañías is working on reforms to the Companies Law that could expand shareholder access to corporate information regardless of ownership percentage. Business lawyers and chambers warn that the measure needs safeguards to protect strategic, contractual, tax, labor and customer data.
Ecuador Security Decree Targets Areas With 2,648 Homicides in Four Months
Ecuador’s new state of exception concentrates military and police intervention in ten provinces and three cantons that registered 2,648 of 2,778 national homicides from January through April. Guayas alone accounted for 1,223 violent deaths, making the decree material for port, logistics, mining and urban operating-risk analysis.
Contraloría Rule Would Allow Classified Audit Files to Be Destroyed After 30 Days
Ecuador’s National Assembly approved a rule allowing the Contraloría to destroy classified state documents within 30 calendar days after audit reports are final and executed. The reform changes the governance and audit-trail environment for classified public-sector information, with civil-society groups asking the Executive to veto the provision.
IVA Refund Dispute Reaches Constitutional Court as SRI Refunds Fall 28.5%
A retirees group has taken IVA refund delays to Ecuador’s Constitutional Court after a rejected protection action in Pichincha. The dispute comes as SRI cash tax refunds reached USD 134.5 million from January to April 2026, down 28.5% from the same period in 2025.
Ecuador Adds 7,364 Hectares of Water-Protection Areas in Loja
Ecuador formalized the Gonzanama and Sanguillin water-protection areas in Calvas, Loja, covering 7,364.35 hectares. The declarations are framed around forest, water-source and wildlife conservation, with direct water-quality relevance for 7,829 residents.
Ecuador Sets 655-Salary License Rule for Sports-Betting Operators
President Daniel Noboa issued a new regulation to Ecuador's sports law with requirements for sports-betting operators. The rules include licenses valid for up to five years and an annual payment equivalent to 655 basic salaries within the first 20 days of each license year.