Copyright 2006

National Law Center for Inter-American Free Trade

InterAm^SM Database

28 de abril de 2006

CHILE

Requirements for Foreigners to Set Up a Business in Chile

Chilean Corporation - Sociedad Anónima

The following is a brief explanation of the basic and key incorporation procedures for purposes of forming a Chilean corporation - Sociedad Anónima. The Sociedad Anónima is the most common form of business organization in Chile. All of the laws, regulations, and authorities referenced in this document are from Chile.

First: A foreigner entering Chile with the purpose of incorporating does not need a visa. However, the foreigner must have a valid passport.

Decree Law No. 1,094 of 1975 – Decreto Ley No. 1,094, de 1975. Art. 44 – 49.

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Second: One must hire a notary public to incorporate the Chilean corporation. A summary of the deed must be recorded in the Registry of Commerce (Registro de Comercio) and published in the Official Gazette (Diario Oficial).

Law 18046 of Corporations - Ley 18046 sobre Sociedades Anónimas. Art. 5.

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Law 18046 of Corporations - Ley 18046 sobre Sociedades Anónimas. Art. 3. http://natlaw.com/subscribe.php?url=/interam/ch/bs/st/stchbs00010.pdf

Third: One must present an application of foreign investment before the Committee of Foreign Investment (Comité de Inversiones Extranjeras) if foreign currency is going to be invested. The Committee of Foreign Investment has been granting these applications on the same day that the application is presented.

Decree Law 600 Statute of the Foreign Investment - Decreto Ley 600 Estatuto de la Inversión Extranjera Art. 1-3, 12-17.

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Fourth: One must obtain a corporation Tax ID number – Rol Unico Tributario, RUT. One can apply for a Tax ID number before the Service of Internal Taxes – Servicio de Impuestos Internos. The Service of Internal Taxes will require the deed of the corporation, the investor’s power of attorney, and the address of the corporation.

Decree with power of law No.3 of 1969 establishes the Tax ID number and the regulations for its enforcement. Decreto con fuerza de Ley No. 3, de 1969, crea el Rol Unico Tributario y establece normas para su aplicación.

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Fifth: One must obtain a Municipal working license (Patente Municipal) from the municipality where the corporation is located. The license is paid once a year for a 12- month period, from July 1 to June 30.

Decree Law 2385 establishes a reviewed and systematized text of the Decree Law 3063, of 1979, regarding Municipal rents - Decreto Ley 2385, fija Texto Refundido y Sistematizado del Decreto Ley 3063, de 1979, sobre Rentas Municipales.

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