• A temporary VAT exemption is established on the sale of new residential properties, as from December 1, 2026, for a period of 12 months.
• To access this benefit, the following requirements must be met:
  • The subject matter of the sale must be a residential property, that is, a property built and intended for habitation, regardless of its value, surface area or number of units. Storage units and parking spaces are included, provided they are sold in the same transaction.
  • The sale must correspond to the first transfer of the property. Sales between related companies are excluded from this benefit.
  • As of the date of publication of the law, the property must have the final certificate of occupancy (recepción definitiva de obras) granted by the competent Municipal Works Directorate.
  • The sale must be formalized in a public deed within a one-year period from the first business day of December. Deeds executed after the expiration of such period are also included, provided that a promise to purchase agreement was executed during such period.
• This exemption does not affect the seller’s right to use as a tax credit the input VAT paid on the acquisition of goods and services used in the construction of the property being sold, which may be credited against output VAT generated in other taxable transactions.
  
  Alternatively, the seller may elect to have the remaining VAT credit added to the cost of the property or deducted as an expense.
• The proportionality of the established tax credit regarding common-use assets will not be affected when the goods and services acquired are intended for the construction, development and/or marketing of the residential property.

Effective date: 1-year period as from December 1, 2026

• A 100% exemption from real estate tax (contribuciones) on the primary residence is established for owners over 65 years of age.
• The primary residence is understood as the property that constitutes the habitual residence and principal domicile of the taxpayer. In addition, parking spaces and storage units located at the same address as the primary residence will be deemed part of it, provided they are intended for a use related to the dwelling of the beneficiary of the exemption.
• The exemption may only be used for one residential property in the entire national territory.
• In the case of co-ownership, the exemption will apply if all co-owners are individuals and at least one of them actually resides in the property. In the case of succession upon the death of a spouse or civil partner, a 25% co-ownership interest will suffice.
• This benefit extends to mixed-use properties, provided that the residential area represents at least 50% of the total built area.
• To access this benefit, an affidavit must be filed with the Chilean IRS confirming that the property is the owner’s habitual residence, within the term and in the manner determined by the Chilean IRS by resolution, and the owner must be current on the payment of the annual municipal waste collection fees and the real estate tax for the immediately preceding year with respect to the primary residence.
• Before declaring the loss of the benefit, the Chilean IRS must summon the taxpayer pursuant to Article 63 of the Tax Code.
• Penalties are established for the improper obtaining of the benefit, consisting of a fine equal to 300% of the evaded tax and disqualification from applying for this benefit for a period of 10 years.

Effective date: January 1, 2027.

• A sole tax at a rate of 5% is established on the gross rental income derived from economic housing units (viviendas económicas) with a built area not exceeding 90 square meters per unit, obtained under agreements entered into with non-related parties.
• Parking spaces and storage units located at the same address as the economic housing unit and included in the respective agreement for the temporary use or enjoyment of the property may also be considered for purposes of this benefit. The dimensions of such assets will not be considered in calculating the surface area of the economic housing unit.
• For individuals, the benefits currently in force remain unchanged with respect to the first two economic housing units. However, as from the third unit, they may elect the 5% sole income tax, in which case the other benefits contained in DFL No. 2 will not apply to such units.
• Legal entities may elect to be subject to the regime as from the first unit, while sole proprietors may only do so as from the third unit.
• Taxpayers electing this new regime must have as their exclusive line of business the assignment of the temporary use or enjoyment, or the exploitation under any title, of economic housing units that meet the requirements established in the law, except for those investments strictly necessary for the maintenance or preservation of cash flows, whose income will be subject to the general regime. Likewise, they may receive income from the sale of economic housing units without leaving the regime.
• Those who purchase new economic housing units of up to 140 m² from non-related parties within the 12 months following the publication of the law (i.e., until October 17, 2027) may elect the 5% sole tax on the rental income derived from such units, as from January 1, 2027.
• Those electing this regime must notify the Chilean IRS of such election in the notice of commencement of activities. If the taxpayer decides to leave this regime, it may not re-elect it.
• Taxpayers subject to this regime will not be entitled to the VAT refund established in Article 27 bis of Decree Law No. 825.

Effective date: January 1, 2027.