The 10 Most Important Questions and Answers of Supreme Decree 5503

4. What social bonuses and assistance programs are created or modified?

Several transfers are established to support families:

• Juancito Pinto Bonus (2026): Bs 300 per student
• Renta Dignidad: Increase of Bs 150 for all beneficiaries
• Extraordinary Protection and Equity Program (PEPE): Monthly bonus of Bs 150 for 12 months (Bs 1,800 annually), aimed at vulnerable sectors such as beneficiaries of the Juana Azurduy Program, persons with severe disabilities, and non-retired senior citizens

5. What incentives exist for investment and repatriation of capital?

The decree allows voluntary declaration of assets held abroad with tax benefits:

• 0% tax if resources are invested in productive sectors or remain in the national financial system for at least 24 months
• 5% tax if resources are withdrawn or transferred abroad before that period

A 15-year legal and tax stability regime is also created for investments in mining, energy, agribusiness, and manufacturing. To streamline project processing, a Single Window for Foreign Investments (VUIE) and a Fast Track procedure are established, with maximum approval deadlines of 30 days.

6. What new tax measures apply to entrepreneurs and companies?

Key provisions include:

• SIETE-RG (New Simplified Regime): For entrepreneurs with annual sales under Bs 250,000, applying a bimonthly single tax of 5% on gross sales that consolidates VAT, Transaction Tax (IT), and Corporate Income Tax (IUE)
• VAT Incentives: Full deduction of VAT input tax credits for independent professionals without strict conditions
• Tax Amnesty: Automatic statute of limitations for perfected tax debts incurred up to October 31, 2025

7. What facilities are granted to borrowers with bank loans?

An automatic 6-month payment deferral is established for social housing loans and productive loans granted to micro and small enterprises. During this grace period, payment of principal and interest is suspended, additional interest or late fees are prohibited, and accrued interest is prorated once the deferral period ends.

8. How is foreign trade (exports and imports) liberalized?

The decree modifies requirements to stimulate trade operations:

• Exports: The obligation to obtain the “Domestic Supply and Fair Price Certificate” is eliminated for products such as soybeans, meat, and sugar, restoring freedom to export
• Imports: Prior Authorizations from SENAVEX are abolished for goods such as clothing, furniture, and footwear. Additionally, customs duties are reduced to 0% for machinery, spare parts, and industrial functional units until the end of 2026

9. What changes are introduced in exchange rate policy and the Central Bank?

The decree orders a transition toward a new exchange rate regime to preserve reserves and maintain external balance. The Central Bank is authorized to manage credit lines, currency swaps, and operations involving gold or collateral to stabilize the balance of payments, and is prohibited from granting domestic credit to the central public sector.

10. How will corruption from the previous administration be addressed?

The decree creates “Expedited Compliance Audits,” with shortened timeframes of 6 to 12 months to identify indications of civil or criminal liability and recover public resources, focusing on operations that did not generate collective benefit.

Summary

Supreme Decree 5503 articulates a comprehensive package of economic, social, and administrative reforms aimed at stabilizing key variables and reactivating the economy. Its scope ranges from fiscal and exchange rate policies to investment incentives, social protection, and transparency mechanisms, creating a regulatory framework with broad effects across multiple sectors.