1.                  These are payable at source in Costa Rica on earnings by non-residents of

                        Costa Rica. 

            2.         Categories: 

a) Dividends - 15%.  May be partially exempt if the dividend is taxable in the country of residence.  They are not taxable to Costa Rican corporations. 

b) Interest income - 13.75%.  Not applicable to banks or financial institutions      recognized by the Central Bank of Costa Rica as it is included in the interest rate offered, or to suppliers of merchandise.  It is not taxable to Costa Rican Corporations.  The borrower is responsible to ensure withholding tax is paid where required. 

                        c) Royalties, patents, trademarks, franchises - 25% 

                        d) Technical services & management fees - 25% 

                        e) Transportation & communication services - 8.5%

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