All companies must review and comply with the applicable regulations in each country where they operate. Compliance is not limited solely to the incorporation or registration of the company, but must be renewed and verified year after year, especially at the beginning of the fiscal year, in order to avoid legal contingencies or operational setbacks.
Based on my experience as a Regional Director, I recommend conducting a comprehensive review during the month of January, organized by specific areas, to ensure that all compliance requirements are properly covered.
Corporate Matters
It is essential to review, among other aspects:
- The deadlines for holding ordinary shareholders’ or partners’ meetings, as well as the minimum quorum and participation requirements.
- The payment of required corporate taxes, which vary depending on the jurisdiction.
- The validity of corporate appointments, ensuring that legal representatives and attorneys-in-fact have fully valid and up-to-date powers.
These reviews are fundamental to maintaining corporate good standing, especially for companies operating across multiple jurisdictions in Latin America. Learn more by visiting our Business Law service page:
Tax Matters
It is advisable to:
- Organize and schedule annual tax payments. In several countries within the region, taxes are paid on a semiannual basis, making it essential to remain aware of applicable deadlines.
- In jurisdictions where annual filings are required, such as beneficial ownership declarations (as in the case of Costa Rica), ensure that the minimum legal requirements are met in a timely manner.
Labor Matters
Key considerations include:
- Reviewing and updating minimum wage tables.
- Ensuring compliance with governmental changes or reforms in labor regulations.
- Providing training to human resources personnel, particularly when there are changes in migration regulations that may affect the company.
Proactive labor compliance reduces disputes and strengthens workforce stability.
Permits and Licenses
Any process related to operating permits or licenses requires a significant investment of time and resources. For this reason, it is strongly recommended to initiate renewal or application processes at least six to ten months prior to expiration, in order to ensure operational continuity and regulatory compliance.
In conclusion, our firm is well positioned to support you and your company both in day-to-day matters and in the development of an effective annual operational planning strategy, ensuring a structured, compliant, and risk-free start to the year.
If you would like comprehensive regional support, please do not hesitate to contact us.
Author: Eugenia Víquez
director@glclegal.com.
