🇬🇹 Guatemala: Reimbursement Receipts Must Be Issued in the Company's Name

Summary: Guatemalan tax regulations require reimbursement receipts to be issued in the company's name. Receipts issued to employees personally may be reclassified as taxable income.

Background

Similar to other jurisdictions, Guatemala requires that documentation for reimbursable business expenses be issued to the employing legal entity rather than to the individual employee, in order for the expense to qualify as a legitimate, non-taxable business cost.

What This Means for You

Receipts that don't reflect the company's name may be reclassified by tax authorities as taxable personal income. This results in:

• A 25% tax impact on the reimbursed amount
• Possible processing delays while the documentation issue is resolved

What to Do

1. Use the correct billing information. Local entity details for Guatemala were shared with your onboarding materials — make sure employees reference these when requesting receipts.
2. Review before submitting. Confirm the receipt or invoice is issued to the company, not the individual, before filing a reimbursement.
3. Contact us if you need the entity details resent. Reach out to your CSM or Support if you can't locate the correct billing information.

FAQ

Q: Why is the tax impact different from Costa Rica (25% vs. 30%)? A: The percentage reflects each country's own tax treatment of reclassified income — it's set by local tax law, not by RemoFirst.

Q: Who do I contact if I have questions about a specific reimbursement? A: Your CSM or our Support Team can help review a submission before or after it's filed.