'%3e%3cpath%20fill='%23d80027'%20d='m0%20256%20254.5-51.3L512%20256v256H0z'/%3e%3cpath%20fill='%230052b4'%20d='M0%200h256l52.7%20132.8L256%20256H0z'/%3e%3cpath%20fill='%23eee'%20d='M256%200h256v256H256zM152.4%2089l16.6%2051h53.6l-43.4%2031.6%2016.6%2051-43.4-31.5-43.4%2031.5%2016.6-51L82.2%20140h53.6z'/%3e%3c/g%3e%3c/svg%3e)
Withholding tax in Chile 2026
Chile's non-resident tax starts at 35% of the gross payment — dividends, directors' fees, services and most gains — and then discounts by category: 15% for technical and professional services, 15% for patents and software, 4% for qualifying bank interest and bonds.
Payments to listed low-tax jurisdictions push the service and royalty rates up to 20-30%.
At a glance
- top rate
- 35% (default on gross)
- entry band
- 4% on qualifying interest
- tax year basis
- Withheld at source, usually on remittance
- filing deadline
- Final for most — no return needed
- residency basis
- Chilean-source income of non-residents
- regime flag
- Standard off-the-shelf software payments are exempt
Rates
Withholding on non-residents (2026)
| Rate | Base | Applies to |
|---|---|---|
| 35% | Gross | Dividends (with corporate-tax credit), directors' fees, general services, most capital gains |
| 15% | Gross | Engineering, technical and professional advice, patents, industrial designs and non-standard software (20-30% for listed low-tax jurisdictions) |
| 20% | Gross | Scientific, cultural and sporting activity income |
| 30% | Gross | Trademarks, formulas and similar royalties |
| 15% | Gross | Copyright royalties |
| 4% | Gross interest | Bank deposits, import finance and qualifying bonds (35% otherwise) |
| 10% | Net gain | High-liquidity listed-share gains |
Withholding residents meet (2026)
| Rate | Base | Applies to |
|---|---|---|
| Progressive (0-40%) | Monthly salary | Employer withholding — final for single-employer earners |
| 15.25% | Gross fees | Freelance and professional fees (rising to 17% by 2028) — creditable |
| 17% | Fees on payslips | Digital-platform workers |
Thresholds & allowances
- Standard softwareExempt
Licences limited to use, without commercial exploitation or modification rights
Residency
Residency trigger
Withholding is generally final and event-based, triggered on remittance abroad; indirect sales of Chilean assets between non-residents are also Chilean-source.
Non-resident treatment
Non-residents with fully withheld income file nothing; permanent establishments file like local companies on attributable worldwide income and credit the business tax against remittance tax.
Notes
- Fees for services rendered entirely abroad can still be Chilean-source when paid from Chile — the 15% technical-services rate is the workhorse for cross-border consulting.
- Interest is Chilean-source when the debtor is Chilean-domiciled, including debt issued abroad by foreign branches with a Chilean head office.
- Treaty rates override the domestic schedule; Chile's treaty network keeps the combined dividend burden at 35% for treaty residents.
- Non-resident sellers of listed shares enjoy the same 10% single tax as residents.
FAQ
What withholding applies to non-residents in Chile?
35% on gross income as the default — cut to 15% for technical and professional services, 15% for patents and software, and 4% for qualifying interest.
Is software taxed when paid to foreign providers?
Custom software and exploitation rights carry 15% withholding (30% to listed low-tax jurisdictions), but standard use-only licences are exempt.
Figures: tax year 2026, compiled from public sources. Not tax advice.