Guides a self-employed individual (persona natural) or independent professional through the full Salvadoran annual income-tax cycle: classifying honorarios and business income, computing deductible expenses, settling the progressive ISR on Form F-11 (due 30 April), and handling monthly IVA obligations on Form F-07 where the client is a registered IVA contributor.
Confirm the client is a domiciled persona natural (not a persona jurídica), establish whether they are a registered IVA contributor (with NRC under F-210) or a sujeto excluido, and collect the prior-year F-11 and any F-14 constancias de retención from payers. Domicile status is a hard gate: domiciled individuals use the progressive 0/10/20/30% Art. 37 table; non-domiciled pay a flat 30% and this workflow does not apply.
Classify every credit on the bank statement as Salvadoran-source renta gravada (honorarios / business income), excluded item (own-account transfer, loan receipt), or foreign-source income exempt under the 2024 territorial reform. For IVA-registered clients, strip the 13% IVA component from gross receipts to arrive at the net taxable base. Reconcile bank deposits against issued invoices and F-14 withholding certificates to confirm the pago a cuenta credit.
Identify and cap all deductible business expenses against the renta gravada. Apply the transaction pattern library: fully deductible operating costs (office rent, accountancy fees, software subscriptions, marketing), Tier-2 items requiring apportionment (home office, vehicle, utilities), capital items requiring depreciation under Art. 30 LISR, and blocked personal expenses. Also apply the personal deductions available to all filers: medical (up to USD 800), education (up to USD 800), charitable donations (up to 20% of net income), and voluntary AFP contributions (up to 10% of reported income).
Apply the Art. 37 LISR progressive table to net taxable income and compute the annual ISR liability. Offset the pago a cuenta credits (10% withheld by payers and evidenced by F-14 constancias) to determine the net ISR payable or refund. Flag any situations where net income falls below the USD 6,600 exempt threshold. Identify whether the client is eligible for the 15-year tech income-tax holiday (software/AI/cybersecurity/data analytics) or the foreign-source income exemption under the 2024 reform.
For clients with an NRC (registered IVA contributors), verify that F-07 monthly IVA returns were filed and paid throughout the year, credit balances are correctly carried forward, and input-tax credits on business purchases are properly supported by valid facturas. Flag any months where IVA collected on sales was not remitted. This phase is skipped for sujeto excluido clients (annual operations below USD 5,714.29 and assets below USD 2,285.71).
Prepare the F-11 annual income-tax return using the agreed figures, submit via the Ministerio de Hacienda portal (mh.gob.sv), and arrange payment of any net ISR balance due by 30 April. If a refund is due, confirm the refund claim procedure with DGII. Print and file the submission receipt and the final F-11 computation for the client's records. Advise on any applicable tax-optimisation elections (voluntary AFP deduction, foreign-source income exemption confirmation) before submission.
Run this workflow in your AI agent
Install the MCP connector once — your agent loads the right skills, works through each phase, and routes to a licensed El Salvador accountant for review.
El Salvador Tax Optimization
Use this skill whenever asked about reducing tax in El Salvador, tax planning, or legal st
El Salvador Income Tax (Impuesto sobre la Renta) -- Self-Employed & Individuals
Use this skill whenever asked about El Salvador personal income tax (Impuesto sobre la Ren