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AGREEMENT BETWEEN THE GOVERNMENT OF THE UNITED STATES OF 

AMERICA AND THE GOVERNMENT OF THE REPUBLIC OF COSTA RICA FOR THE

EXCHANGE OF INFORMATION RELATING TO TAXES

The Government of the United States of America (the “United States”) and the 

Government of the Republic of Costa Rica (“Costa Rica”), desiring to facilitate the 

exchange of information with respect to taxes, have agreed as follows:

ARTICLE 1

Object and Scope of this Agreement

The competent authorities of the Parties shall provide assistance to each other through 

exchange of information that is foreseeably relevant to the administration and 

enforcement of the domestic laws of the Parties concerning taxes covered by this 

Agreement. Such information shall include information that is foreseeably relevant to the 

determination, assessment and collection of such taxes, the recovery and enforcement 

of tax claims, or the investigation or prosecution of tax matters. Information shall be 

exchanged in accordance with the provisions of this Agreement and shall be treated as 

confidential in the manner provided in Article 10 (Confidentiality).

ARTICLE 2

Jurisdiction

A requested Party shall not be obligated to provide information that is neither held by its 

authorities nor in the possession or control of persons who are within its territorial 

jurisdiction. With respect to information held by its authorities or in the possession or 

control of persons who are within its territorial jurisdiction, however, the requested Party 

shall provide information in accordance with this Agreement regardless of whether the 

person to whom the information relates is, or whether the information is held by, a 

resident or national of a Party. 

ARTICLE 3

Taxes Covered

1. This Agreement shall apply to the following taxes imposed by the Parties:

(a) in the case of the United States, all federal taxes; and
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(b) in the case of Costa Rica, taxes of every kind and description collected by the 

Ministry of Finance.

2. This Agreement shall also apply to any identical or substantially similar taxes that are 

imposed after the date of signature of this Agreement in addition to or in place of the 

existing taxes. The competent authorities of the Parties shall notify each other of any 

significant changes that have been made in their taxation laws or other laws that relate 

to the application of this Agreement.

ARTICLE 4

Definitions

1. For the purposes of this Agreement, unless otherwise defined:

(a) the term “Party” means the United States or Costa Rica as the context requires;

(b) the term “competent authority” means:

(i) in the case of the United States, the Secretary of the Treasury or his delegate, 

and

(ii) in the case of Costa Rica, the Director of the Tax Administration or an 

authorized representative;

(c) the term “person” includes an individual, a company and any other body of 

persons;

(d) the term “company” means any body corporate or any entity that is treated as a 

body corporate for tax purposes;

(e) the term “national” of a Party means any individual possessing the nationality or 

citizenship of that Party, and any legal person, partnership or association deriving its 

status as such from the laws in force in that Party;

(f) the term “publicly traded company” means any company whose principal class of 

shares is listed on a recognized stock exchange if the purchase or sale of its listed 

shares is not implicitly or explicitly restricted to a limited group of investors;

(g) the term “principal class of shares” means the class or classes of shares 

representing a majority of the voting power and value of the company;

(h) the term “recognized stock exchange” means any stock exchange agreed upon 

by the competent authorities of the Parties;
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(i) the term “public collective investment fund or scheme” means any pooled 

investment vehicle, irrespective of legal form, if the purchase, sale or redemption of

the units, shares or other interests in the investment vehicle is not implicitly or 

explicitly restricted to a limited group of investors;

(j) the term “tax” means any tax to which this Agreement applies and does not 

include customs duties;

(k) the term “applicant Party” means the Party requesting information;

(l) the term “requested Party” means the Party requested to provide information;

(m) the term “information gathering measures” means laws and administrative or 

judicial procedures that enable a Party to obtain and provide the requested 

information; and

(n) the term “information” means any fact, statement or record in any form whatever.

2. For purposes of determining the geographic area within which jurisdiction to compel 

production of information may be exercised:

(a) the term “United States,” when used in a geographic sense, means the territory 

of the United States of America, including American Samoa, Guam, the Northern 

Mariana Islands, Puerto Rico, the U.S. Virgin Islands and any other U.S. possession 

or territory, as well as the territorial sea and airspace of the United States of America 

and maritime areas over which the United States of America exercises or may 

exercise sovereign rights with respect to the natural resources, in accordance with 

international law; and

(b) the term “Costa Rica,” when used in a geographic sense, means the territory, 

including Isla del Coco, as well as the territorial sea and the airspace of Costa Rica 

and maritime areas over which Costa Rica exercises or may exercise sovereign 

rights with respect to the natural resources, in accordance with international law.

3. As regards the application of this Agreement at any time by a Party, any term not 

defined herein shall, unless the context otherwise requires or the competent authorities 

agree to a common meaning pursuant to the provisions of Article 12 (Mutual Agreement 

Procedure), have the meaning that it has at that time under the law of that Party, any 

meaning under the applicable tax laws of that Party prevailing over a meaning given to 

the term under other laws of that Party. 
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ARTICLE 5

Exchange of Information Upon Request

1. The competent authority of the requested Party shall provide information upon 

request by the competent authority of the applicant Party for the purposes referred to in 

Article 1 (Object and Scope of this Agreement). Such information shall be exchanged 

without regard to whether the requested Party needs such information for its own tax 

purposes or whether the conduct being investigated would constitute a crime under the 

laws of the requested Party if such conduct occurred in the requested Party.

2. If the information in the possession of the competent authority of the requested Party 

is not sufficient to enable it to comply with the request for information, the requested

Party shall use all relevant information gathering measures to provide the applicant 

Party with the information requested, notwithstanding that the requested Party may not 

need such information for its own tax purposes. Privileges under the laws and practices 

of the applicant Party shall not apply in the execution of a request by the requested 

Party and the resolution of such matters shall be solely the responsibility of the 

applicant Party.

3. If specifically requested by the competent authority of the applicant Party, the 

competent authority of the requested Party shall provide information under this Article, 

to the extent allowable under its domestic laws, in the form of depositions of witnesses 

and authenticated copies of original records.

4. Each Party shall ensure that its competent authority, for the purposes specified in 

Article 1 (Object and Scope of this Agreement) of this Agreement, has the authority to 

obtain and provide upon request:

(a) information held by banks, other financial institutions, and any person acting in 

an agency or fiduciary capacity including nominees and trustees; and

(b) information regarding the ownership of companies, partnerships, trusts, 

foundations, “Anstalten” and other persons, including, within the constraints of Article 

2 (Jurisdiction), ownership information on all such persons in an ownership chain; in 

the case of trusts, information on settlors, trustees and beneficiaries; and in the case 

of foundations, information on founders, members of the foundation council and 

beneficiaries. 

Notwithstanding subparagraph 4(b), this Agreement does not create an obligation on 

the Parties to obtain or provide ownership information with respect to publicly traded 

companies or public collective investment funds or schemes unless such information 

can be obtained without giving rise to disproportionate difficulties to the requested Party.

5. The competent authority of the applicant Party shall provide the following information 

to the competent authority of the requested Party when making a request for information 

under this Agreement, with the greatest degree of specificity possible:
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(a) the identity of the person or ascertainable group or category of persons under 

examination or investigation;

(b) a statement of the information sought, including its nature and the form in which 

the applicant Party wishes to receive the information from the requested Party;

(c) the period of time with respect to which the information is requested;

(d) the matter under the applicant Party’s tax law with respect to which the 

information is sought;

(e) grounds for believing that the information requested is foreseeably relevant to tax 

administration or enforcement of the applicant Party with respect to the person or 

group or category of persons identified in subparagraph 5(a);

(f) grounds for believing that the information requested is held in the requested Party 

or is in the possession or control of a person within the jurisdiction of the requested 

Party;

(g) to the extent known, the name and address of any person believed to be in 

possession or control of the requested information;

(h) a statement that the request is in conformity with the law and administrative 

practices of the applicant Party, that if the requested information was within the 

jurisdiction of the applicant Party then the competent authority of the applicant Party 

would be able to obtain the information under the laws of the applicant Party or in 

the normal course of administrative practice and that it is in conformity with this 

Agreement; and

(i) a statement that the applicant Party has pursued all means available in its own 

territory to obtain the information, except those that would give rise to 

disproportionate difficulties.

6. The competent authority of the requested Party intends to forward the requested 

information as promptly as possible to the applicant Party. To ensure a prompt 

response, the competent authority of the requested Party intends to:

a) confirm receipt of a request in writing to the competent authority of the applicant 

Party and notify the competent authority of the applicant Party of deficiencies in the 

request, if any, within 60 days of the receipt of the request; and

b) if the competent authority of the requested Party has been unable to obtain and 

provide the information within 90 days of receipt of the request, including if it 

encounters obstacles in furnishing the information or it refuses to furnish the 

information, promptly inform the applicant Party, explaining the reason for its 

inability, the nature of the obstacles or the reasons for its refusal.
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ARTICLE 6

Automatic Exchange of Information

The competent authorities may automatically transmit information to each other for the 

purposes referred to in Article 1 (Object and Scope of this Agreement). The competent 

authorities shall determine the items of information to be exchanged pursuant to this 

Article and the procedures to be used to exchange such items of information.

ARTICLE 7

Spontaneous Exchange of Information

The competent authority of a Party may spontaneously transmit to the competent 

authority of the other Party information that has come to the attention of the firstmentioned competent authority and that the first-mentioned competent authority 

supposes to be foreseeably relevant to the accomplishment of the purposes referred to 

in Article 1 (Object and Scope of this Agreement). The competent authorities shall 

determine the procedures to be used to exchange such information.

ARTICLE 8

Tax Examinations Abroad

1. A Party may allow representatives of the other Party to interview individuals and 

examine records in the territory of the first-mentioned Party with the written consent of 

the persons concerned. The competent authority of the second-mentioned Party shall 

notify, reasonably in advance of a meeting, the competent authority of the firstmentioned Party of the time and place of the meeting with the individuals concerned.

2. At the request of the competent authority of one Party, the competent authority of the 

other Party may allow representatives of the competent authority of the first-mentioned 

Party to be present at the appropriate part of a tax examination in the secondmentioned Party.

3. If the request referred to in paragraph 2 of this Article is acceded to, the competent 

authority of the Party conducting the examination shall, as soon as possible, notify the 

competent authority of the other Party about the time and place of the examination, the 

authority or official designated to carry out the examination and the procedures and 

conditions required by the first-mentioned Party for the conduct of the examination. All 

decisions with respect to the conduct of the tax examination shall be made by the Party 

conducting the examination.
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ARTICLE 9

Possibility of Declining a Request

1. The requested Party shall not be required to obtain or provide information that the 

applicant Party would not be able to obtain under its own laws for purposes of the 

administration or enforcement of its own tax laws. The competent authority of the 

requested Party may decline to assist where the request is not made in conformity with 

this Agreement. The competent authority of the requested Party may decline to assist 

where the applicant Party has not pursued all means available in its own territory to 

obtain the information, except those that would give rise to disproportionate difficulties. 

2. The provisions of this Agreement shall not impose on a Party the obligation to supply 

information that would disclose any trade, business, industrial, commercial or 

professional secret or trade process. Notwithstanding the foregoing, information of the 

type referred to in Article 5 (Exchange of Information Upon Request), paragraph 4 shall 

not be treated as such a secret or trade process merely because it meets the criteria in 

that paragraph.

3. The provisions of this Agreement shall not impose on a Party the obligation to obtain 

or provide information that would reveal confidential communications between a client 

and an attorney, solicitor or other admitted legal representative where such 

communications are:

(a) produced for the purposes of seeking or providing legal advice; or

(b) produced for the purposes of use in existing or contemplated legal 

proceedings.

4. The requested Party may decline a request for information if the disclosure of the 

information would be contrary to public policy (ordre public).

5. A request for information shall not be refused on the ground that the tax claim giving 

rise to the request is disputed.

6. A request for information shall not be refused on the ground that the period of 

limitations in the requested Party has expired. Instead, the statute of limitations of the 

applicant Party pertaining to the taxes to which the Agreement applies shall govern a 

request for information.
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7. The provisions of this Agreement shall not impose on a Party the obligation to supply 

information requested by the applicant Party to administer or enforce a provision of the 

tax law of the applicant Party, or any requirement connected therewith, which 

discriminates against a national of the requested Party. A provision of tax law or 

connected requirement shall be considered to be discriminatory against a national of the 

requested Party if it is more burdensome with respect to a national of the requested 

Party than with respect to a national of the applicant Party in the same circumstances. 

For purposes of the preceding sentence, a national of the applicant Party who is subject 

to tax on worldwide income is not in the same circumstances as a national of the 

requested Party who is not subject to tax on worldwide income. The provisions of this 

paragraph shall not be construed so as to prevent the exchange of information with 

respect to the taxes imposed by the Parties on branch profits, branch-level interest, or 

the premium income of nonresident insurers or foreign insurance companies.

ARTICLE 10

Confidentiality

Any information received by a Party under this Agreement shall be treated as 

confidential and may be disclosed only to persons or authorities (including courts and 

administrative bodies) in the jurisdiction of the Party concerned with the assessment or 

collection of, the enforcement or prosecution in respect of, or the determination of 

appeals in relation to, the taxes covered by this Agreement, or the oversight of such 

functions. Such persons or authorities shall use such information only for such 

purposes. They may disclose the information in public court proceedings or in judicial 

decisions. The information may not be disclosed to any other person, entity, authority 

or jurisdiction. Notwithstanding the foregoing:

(a) where the competent authority of the Party that provided the information provides 

prior, written consent, the information may be disclosed for:

(i) counter-terrorism purposes when information received by a Party under 

this Agreement may be disclosed for such purposes under that Party’s laws; or 

(ii) for purposes permitted under the provisions of an international agreement 

governing legal assistance in criminal matters that is in force between the Parties

that allows for the exchange of tax information; and 

(b) the competent authority of a Party may disclose information not relating to a 

particular person received under this Agreement if it has determined, after 

consultation with the competent authority of the other Party, that such disclosure 

would not impair tax administration (including the administration of this Agreement).
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ARTICLE 11

Costs

Unless the competent authorities of the Parties otherwise agree, ordinary costs incurred 

in providing assistance shall be borne by the requested Party and extraordinary costs 

incurred in providing assistance shall be borne by the applicant Party. 

 

ARTICLE 12

Mutual Agreement Procedure

1. Where difficulties or doubts arise between the Parties regarding the implementation 

or interpretation of this Agreement, the competent authorities shall endeavor to resolve 

the matter by mutual agreement.

2. The competent authorities may adopt and implement procedures to facilitate the 

implementation of this Agreement.

3. The competent authorities of the Parties may communicate with each other directly 

for purposes of reaching a mutual agreement under this Article.

ARTICLE 13

Mutual Assistance Procedure

The competent authorities of the Parties may agree to exchange technical know-how, 

develop new audit techniques, identify new areas of non-compliance and jointly study 

non-compliance areas.

ARTICLE 14

Entry Into Force

1. This Agreement shall enter into force one month from the date of Costa Rica’s written 

notification to the United States that Costa Rica has completed its necessary internal 

procedures for entry into force of this Agreement. The provisions of this Agreement 

shall have effect for requests made on or after the date of entry into force, regarding 

taxable periods beginning on or after the date of entry into force. 

2. The Agreement between the Government of the United States of America and the 

Government of the Republic of Costa Rica for the Exchange of Information With 

Respect to Taxes, signed at San Jose on March 15, 1989 (“1989 Agreement”) shall 
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terminate on the date of entry into force of this Agreement. Notwithstanding such 

termination, the terms of the 1989 Agreement shall continue to apply as if it remained in 

force to requests for information with regard to taxable periods beginning prior to the 

date of entry into force of this Agreement. 

ARTICLE 15

Termination

1. This Agreement shall remain in force until terminated by a Party. 

2. Either Party may terminate this Agreement by giving notice of termination in writing 

to the other Party. Such termination shall become effective on the first day of the month 

following the expiration of a period of six months after the date of the notice of 

termination.

3. If this Agreement is terminated, both Parties shall remain bound by the provisions of 

Article 10 (Confidentiality) with respect to any information obtained under this

Agreement.

In witness whereof, the undersigned, being duly authorized thereto by their respective 

Governments, have signed this Agreement. 

Done at __________, in duplicate, in the English and Spanish languages, both texts 

being equally authentic, this __ day of _____, 20__.

FOR THE GOVERNMENT OF 

THE UNITED STATES OF AMERICA:

FOR THE GOVERNMENT OF

THE REPUBLIC OF COSTA RICA: