This article provides a comprehensive overview of the individual income tax framework in Bolivia for 2025. Below you will find the key income tax rates, assessment basis, and the relevant additions like supportive social contributions, all presented clearly and accurately for quick reference.
Bolivia Individual Income Tax: Structure and Main Rates
Bolivia’s personal income tax system in 2025 is based on a flat-rate structure, meaning there is a single main tax rate applied regardless of total income level. The table below summarizes the fundamental details of the framework:
| Tax Element | Value (BOB) | Percentage (%) |
|---|---|---|
| Tax Type | Flat Rate | – |
| Flat Income Tax Rate | – | 13% |
| Surtax: Supportive Social Contribution* | – | 1.15% to 11.48% |
| Threshold for Social Contribution | 13,000 BOB/month | – |
*The social contribution rate applies progressively on gross salary for employees earning above BOB 13,000/month.
Assessment Basis and Application
For 2025, individual income tax in Bolivia is assessed strictly on a taxpayer’s income. Unlike some jurisdictions where taxable income is determined after complex adjustments, Bolivia applies its flat 13% tax rate directly to total declared income, ensuring a straightforward approach for most filers.
Supportive Social Contribution: Additional Obligation
Employees who earn more than BOB 13,000 (Bolivian Boliviano) per month are subject to a supportive social contribution. This surtax is applied according to a progressive scale. The minimum rate is 1.15% and can increase up to 11.48% of the gross monthly salary, depending on income level. If you receive less than BOB 13,000 per month, no supportive social contribution applies.
Comparison Table: Main Taxes & Surtaxes for 2025
| Income Range (BOB/month) | Main Tax Rate (%) | Supportive Social Contribution (%) |
|---|---|---|
| Up to 13,000 | 13% | 0% |
| Above 13,000 | 13% | 1.15% – 11.48%* |
*Applied according to a government-defined scale over gross salary. Official figures have not been fully published on the detailed brackets as of 2025.
Additional Notes on Bolivian Income Tax
There are currently no public details regarding minimum or maximum holding periods for the income taxation framework in Bolivia—this likely reflects the nature of the system, which is assessed on current annual income rather than gains or asset disposals.
Pro Tips: Navigating Bolivia’s Individual Income Tax in 2025
- Track Monthly Income Thresholds: If your monthly gross salary approaches BOB 13,000 (approximately $1,880 based on an exchange rate of 1 USD = 6.92 BOB), review how the social contribution may affect your net income before accepting bonuses or pay increases.
- Verify Surtax Rates Regularly: The supportive social contribution is applied progressively; always check the latest government directives to see which rate applies to your current income band.
- Consolidate Multiple Income Sources: Ensure all your income streams are accurately declared, as the flat rate applies to your total income and bonus earnings may trigger additional social contribution obligations.
- Employer Payroll Withholding: Confirm with your employer that correct and updated tax rates (including social surtaxes) are being withheld from your salary each month to avoid year-end surprises.
Useful Resources
Bolivia’s income tax system remains relatively uncomplicated, thanks to its flat rate of 13% on personal income. The key consideration in 2025 is the supportive social contribution, which applies only to higher-income employees. Keep these figures and thresholds in mind for financial planning throughout the tax year. Staying up to date with government announcements ensures you remain compliant and fully informed.