Introduction
In determining Income Tax (IT), it is necessary to evaluate when any type of expense or income accrues. A particular case is the interests on loans taken from the REACTIVA PERÚ program (hereinafter REACTIVA), as the schedule includes a grace period. While for accounting purposes interests accrue over the term of the debt, for tax purposes—especially with the novel legal accrual rule in effect since 2019—the accrual of interests may coincide with the accounting approach or begin at the end of the grace period. In these lines, we will address the tax effects of the financial cost originated by the REACTIVA loan.
Accounting Approach
There seems to be a consensus that the REACTIVA debt qualifies as a subsidized loan, and its accounting treatment is governed by the scope of IAS 20 (Government Grants) and IFRS 9 (Financial Instruments).
When do REACTIVA interests accrue for tax purposes?
According to Article 57 of the LIR (Income Tax Law), expenses accrue when the substantial events have occurred. The grace period does not qualify as a suspensive condition (a future and uncertain event), but rather as a known and foreseeable event that does not condition the validity of the loan.
The Tax Tribunal (RTF No. 18673-8-2011) has pointed out that the suspension of the enforceability of payment (grace period) does not prevent the accrual of interests, as the service (the use of capital) is being effectively received by the debtor.
Calculation of IT 2020 and 2021:
In the 2020 IT calculation:
- Addition: S/ 60,011.95 (interests accrued for accounting purposes at market rate that do not correspond to the actual schedule).
- Deduction: S/ 50,773.61 (income from subsidies calculated by liability difference).
- Deduction (Scenario 1): S/ 10,000 corresponding to interests accrued for tax purposes (1% rate), despite the grace period.
- Deduction (Scenario 1): S/ 15,000 of the COFIDE commission as an accrued expense when it was incurred.
In the 2021 IT calculation:
- Addition: S/ 66,011.95 and a Deduction for S/ 50,773.61 based on the previous arguments.
- Deduction (Scenario 2): S/ 15,238.34 of restructured interests and commissions (if the commission is considered to accrue over the term of the debt).
