ISP Solidarity Patrimonial Tax Guatemala 2026: Who It Applies To

The ISP (Solidarity Patrimonial Tax) is the SAT tax figure focusing on the taxpayer’s patrimony as a basis of contributive capacity, introduced within the framework of Decree 32-2018. It’s distinct from the corporate ISO (Decree 73-2008) and applies to specific patrimonial profiles defined by the tax administration.

Quick summary ISP: Legal framework Decree 32-2018. Focus on the taxpayer’s patrimony (not gross income). Distinct from corporate ISO. Concrete application requires review of current regulation and CPA consultation. For diaspora with assets in Guatemala it’s relevant to verify exposure.

What Is ISP?

The Solidarity Patrimonial Tax (ISP) is a tax figure in the Guatemalan fiscal system introduced with the framework of Decree 32-2018 (“Provisions to Strengthen Tax Administration and Combat Customs Contraband”). Its distinctive feature compared to other system taxes:

• Patrimonial base — focuses on the taxpayer’s patrimony (assets less liabilities) or specific asset categories, not on their period income
• Complementary to the income tax system (ISR) and consumption tax (VAT)
• Applicable to taxpayers with significant patrimonial profile identified by SAT
• Annual or per taxable event depending on the specific regulatory provision

ISP is part of SAT’s tools to ensure contributive capacity is measured not only by income flows but also by the taxpayer’s accumulated wealth.

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Difference Between ISP and ISO

It’s common to confuse these two taxes due to name similarity. They are distinct figures:

Important: A company can be subject to ISO from its operations, while its individual shareholder may have exposure to ISP from their personal patrimony. They are complementary, not exclusive dimensions of taxation.

Who Does ISP Apply To?

Concrete application is defined in the Decree 32-2018 regulation and the SAT resolutions developing it. Conceptually, typical profiles that need to verify their exposure:

1. People with Significant Real Estate Assets

Holders of high-value properties in premium residential or commercial areas. Note that real estate patrimony in Guatemala is already taxed by IUSI (Single Tax on Real Estate) at municipal level — ISP, if applicable, operates on different or complementary dimensions.

2. Shareholders with Relevant Participations

Individuals with significant participations in corporations, limited liability companies or other entities. The corporate patrimony value attributable to the shareholder forms part of their evaluable personal patrimony.

3. Professionals with High Income

Professionals in ordinary regimes whose patrimonial capacity exceeds what’s expected per their income returns — risk profile of patrimonial incongruity detected in SAT cross-checks.

4. Taxpayers Under Verification

Taxpayers under patrimonial verification for incongruity between lifestyle, banking transactions, and submitted returns.

5. Diaspora with Assets in Guatemala

Guatemalans residing abroad who maintain significant patrimony in the country (properties, participations, bank accounts). Tax residence and asset nature determine concrete exposure.

How ISP Is Determined

Determination follows the regulatory provisions of Decree 32-2018 and the specific SAT resolutions in force. Conceptually involves:

Step 1: Identification of Taxable Patrimony

1. Complete inventory of assets: real estate, vehicles, bank accounts, investments, corporate participations, receivables, intellectual property
2. Liability inventory: mortgages, loans, pending obligations
3. Net patrimony calculation (assets - liabilities)
4. Identification of specific categories per applicable regulation

Step 2: Valuation

1. Cadastral value or fiscal value for real estate (IUSI reference)
2. Book value or market value for corporate participations
3. Bank balances at period close
4. Market value for traded assets

Step 3: Application of Exemptions and Bases

1. Verify applicable exemptions per regulation
2. Apply minimum bases or tax floors
3. Determine net taxable base

Step 4: Calculation and Payment

1. Apply the rate per current regulation
2. Determine tax to pay
3. Credit against other taxes if the provision allows
4. Declare at SAT Agencia Virtual and pay via Declaraguate

Due to technical complexity and risk of error, this process must be performed with assistance of a Certified Public Accountant and Auditor (CPA) registered at SAT with experience in patrimonial taxation.

How to Declare ISP

Option: SAT Agencia Virtual

1. Enter portal.sat.gob.gt/portal/agencia-virtual with CUI/NIT
2. Navigate to “Declarations” → “Patrimonial Taxes” or equivalent section per current regulation
3. Select the applicable form for ISP
4. Complete patrimonial detail: assets, liabilities, valuation, annexes
5. Attach documentation: financial statements, valuations, certifications
6. Sign electronically and submit
7. Pay the resulting tax via Declaraguate

Typical Documentation

• Current DPI of holder
• Personal or corporate financial statements at fiscal year close
• Real estate property documents (deeds, RGP certificates)
• Bank statements at close
• Corporate participation certificates (shareholder books, deeds)
• Current fiscal solvency
• Accountant certification signed and sealed

Penalties for Non-Compliance

Penalties applicable to ISP follow the general regime of the Tax Code:

1. Q50-Q500 fine for omitted declaration (Art. 94)
2. Payment of omitted tax with default interest (quarterly SAT rate)
3. 100% fine of tax when omission is determined in audit
4. Fiscal solvency block — affects banking, contracts, international transactions
5. Possible criminal action for tax fraud (Art. 358 Penal Code) if omission is deliberate and exceeds legal thresholds

Maintaining relevant patrimony undeclared generates growing exposure. Voluntary regularization, before audit, accesses reduced penalty regimes.

Special Cases

Diaspora with Real Estate in Guatemala

If you’re a Guatemalan residing in the US maintaining properties in Guatemala:

1. Verify your tax residence — if you maintain registered tax domicile in Guatemala, you’re a tax resident regardless of where you physically live
2. Consider municipal IUSI — always applicable to the property regardless of residence
3. Evaluate ISP per your total patrimonial profile and current provision
4. Consider structuring via Guatemalan or portfolio company per legal advice
5. Stay current with declarations to avoid accumulated penalties when returning to the country or transmitting the patrimony

Change of Tax Residence

If you plan to transfer your tax residence abroad:

1. Communicate the change to SAT with corresponding documentation
2. Settle pending obligations of the prior period
3. Verify residual obligations on assets remaining in Guatemala
4. Consider implications for succession, inheritance and patrimonial transmission

Companies and Corporate Patrimony

When patrimony is structured via companies, the individual shareholder’s exposure to ISP depends on:

• Valuation of their corporate participation
• Regulatory provisions on attributable corporate patrimony
• Structure of liabilities and corporate obligations

Frequently Asked Questions

“If I pay ISO at my company, do I also pay personal ISP?”

They are distinct figures that can coexist. ISO taxes the company (Decree 73-2008) on its operations; ISP, if applicable, taxes the individual taxpayer (Decree 32-2018) on their patrimony. Verify with CPA your concrete exposure to both.

“I only have one house and a bank account. Does ISP apply?”

Application depends on total patrimonial value and tax floors defined in current regulation. Modest profiles generally fall outside the scope. Consult CPA to validate your specific situation.

“As diaspora with property in Antigua, must I declare?”

First verify whether you maintain tax residence in Guatemala (registered tax domicile, more than 183 days/year in GT). If you’re not a tax resident, the obligation on your global income doesn’t apply, but territorial taxes on the property (IUSI) do. ISP requires specific analysis — consult CPA.

“What’s the difference between ISP and IUSI?”

IUSI (Single Tax on Real Estate) is a municipal tax on the property’s cadastral value (2-9 per thousand by value). ISP (Solidarity Patrimonial Tax) is a national tax on the taxpayer’s patrimony per Decree 32-2018. They’re distinct and may apply simultaneously to the same property.

“How do I prepare for an ISP declaration?”

Four steps: (1) complete inventory of assets and liabilities at fiscal year close, (2) documented valuation of each significant asset, (3) hire CPA with patrimonial experience, (4) legal review of structuring if you plan major patrimonial decisions.

Practical Tips

1. Don’t underestimate complexity — ISP is one of the most technical tax areas with evolving regulatory development. Self-preparation without CPA generates significant risk.
2. Stay updated — consult SAT resolutions periodically because regulatory provisions can update.
3. Document valuations — keep evidence of each asset’s value: appraisals, certificates, deeds, financial statements.
4. Consider legal structuring — patrimonial planning via companies, trusts or other figures can optimize your tax exposure legitimately.
5. Diaspora — act before returning — regularize from abroad before returning to Guatemala if you plan to settle permanently, to avoid retroactive charges.
6. Call 1550 or seek specialized CPA advice for concrete cases.

Official Links

• SAT — Agencia Virtual
• SAT — Main Portal
• SAT Information Line: 1550

Related SAT Procedures

• Guatemala ISO Tax — corporate 1% quarterly figure (not to confuse with ISP)
• Annual ISR Tax Return — income tax for the period
• CUI-NIT Lookup — verify your tax registration
• Changing Tax Regime — if your patrimonial profile changes
• Electronic Invoicing FEL — FEL is independent of ISP