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Practical articles on Guatemalan corporate law, labor regulations, tax compliance and foreign investment. Written for SMEs, entrepreneurs and foreign investors who want to operate seriously in Guatemala.
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Interactive Bono 14 calculator under Decree 42-92. Computation period (July 1 – June 30), proportional calculation for employees with less than one year, payment date (first half of July) and exemption from income tax and social security. The 14th-month bonus equivalent.
Read articleInteractive Aguinaldo (13th-month bonus) calculator under Decree 76-78. Computation period (December 1 – November 30), proportional calculation for recent hires, payment schedule (50% in December + 50% in January) and exemption from income tax and IGSS social security.
Read articleInteractive overtime calculator under Article 121 of the Labor Code: 50% surcharge over the ordinary hourly rate. Day shift limits (8h/day, 44h/week), night shift limits (6h/day, 36h/week), mixed shift (7h/day, 42h/week) and the IGSS treatment of overtime pay.
Read articleOfficial formula under Article 82 of the Labor Code, what's included in average salary, when it applies (unjustified dismissal, justified resignation, mutual agreement) and step-by-step example. Includes Constitutional Court jurisprudence (case files 1630-2004, 1061-2010, 2822-2011) on integrating Bono 14 and Aguinaldo into the calculation base.
Read articleNominal salary is NOT the real cost. Interactive calculator of total cost of having an employee on payroll: employer contributions (14.67%: IGSS 12.67% + IRTRA 1% + INTECAP 1%), provisions for Bono 14, Aguinaldo, vacations and severance liability, and employee deductions. Typical multiplier: 1.50x.
Read articleInteractive filterable calendar with all national holidays (Article 127 Labor Code), administrative asuetos and guild days. Difference between holiday and asueto, double-pay rules and Holy Week regulations.
Read articleEarly warning signals, day 1–120 internal collection protocol, out-of-court vs. executive proceeding, precautionary attachments, and how to deduct a bad debt from Income Tax under Art. 21 §21 of the Tax Update Law.
Read articleBefore signing any vehicle sale: how to check the SAT history, chassis and engine, PNC/INTERPOL stolen-vehicle reports, Traffic Department fines, and — critically — the Movable Guarantees Registry (Decree 51-2007) for active retention-of-title clauses or pledges that would compromise the buyer.
Read articleThe tangible peace of mind of sleeping knowing no forged document can transfer your property. How real estate fraud actually works in Guatemala, 5 owner profiles that are especially vulnerable (absentee owners, elderly, multiple heirs), and why immobilization remains the best preventive barrier the RGP offers.
Read articleNo one knows when their moment will come. A notarial warning: the real problems of dying intestate, freedom to testate under Art. 936 Civil Code, types of will recognized in Guatemala, and why the abolition of the succession tax (Decree 6-2026) makes this the most favorable moment to draft one.
Read articleHow to contribute real estate, vehicles or business as capital in kind and obtain legitimate tax advantages: Stamp Tax exemption (Art. 11 Decree 37-92), no VAT applies. The line between legitimate tax planning ("economía de opción") and a sham transaction the SAT can challenge.
Read articleMSPAS sanitary license, INGUAT registration, Hotel Tax (10%), human trafficking prevention (Decree 9-2009), and the residential zoning restrictions almost no one knows for Airbnb operators. Complete legal guide.
Read articleForeigners can own property in Guatemala — except in the 15 km border strip (Constitution Art. 123). Power of attorney, apostille, RGP due diligence and the optimal structure for cross-border real estate investment.
Read articleMINEDUC authorization (Government Agreement 226-2008), Education Law (Decree 12-91), recommended entity structure, tax regime (IVA exemption), teaching-sector labor obligations and child protection under the PINA Law.
Read articleMunicipal liquor license, IDPBA excise tax (Decree 21-2004), permitted hours, electoral dry law, minimum distances to schools and hospitals, night-shift labor rules, and operator civil liability for intoxicated customers.
Read articleRecommended entity (S.A. or S.E.), electronic invoicing (FEL) from day one, client contracts (5 items agencies always forget), IP assignment of deliverables, freelancers vs. disguised employees, and service exports to international clients.
Read articleBefore the first shovel: land title in the RGP, land use under the POT, setbacks and coverage ratios, municipal permit, environmental license and choosing your builder/architect. We accompany you from the very start and can refer you to builders and architects from our client roster with no commitment whatsoever.
Read articleCongress repealed the succession and gift tax in force since 1947 (Decree 431). Scope of the reform, what costs still apply to inheritances and gifts, and how it impacts pending processes, estate planning and family patrimonial structures.
Read articleGuatemala extends AML/CFT duties to lawyers, notaries, accountants, auditors and other DNFBPs under IVE supervision. Which transactions trigger due diligence, how it is balanced with attorney-client privilege, and how a firm should implement its compliance program.
Read articleGabriel García Luna appointed Attorney General for the 2026-2030 term, takes office May 17. Constitutional process (Article 251), Public Ministry functions and implications for businesses and corporate criminal compliance.
Read articleFull legal and notarial support to submit offers in Guatecompras: RGAE registration, Article 80 sworn statements (Decree 57-92), signature authentications and document review. For Guatemalan and foreign companies bidding on State contracts.
Read articleReform to Guatemala's Income Tax Law: new deduction equivalent to 12 minimum wages annually, extraordinary deduction of Q. 3,024 for 2026 and obligations for employers. Effective January 1, 2027 with transitional rules for 2026.
Read articleOfficial minimum wage table for 2026 under Government Agreement 256-2025: agricultural, non-agricultural, export and maquila by Economic Region 1 (Guatemala department) and Region 2 (rest of the country). Highest: Q. 4,002.28 (non-agricultural CE1) + Q. 250 incentive bonus.
Read articleYes. Equal treatment under Decree 9-98 (Foreign Investment Law). Available entity types (S.A. / Corporation, branch, sole-member LLC), apostilled documentation, IVE (anti-money laundering) compliance, constitutional restrictions, tax regime and step-by-step process for foreigners investing in Guatemala.
Read articleSpeed Limiter System mandatory from March 2, 2026 for vehicles weighing 3.5 tons or more (intercity buses, heavy cargo trucks) under Ministerial Agreement 69-2026. Maximum speed of 80 km/h. Graduated fines from Q. 20,011 to Q. 42,522, 6-month route license suspension and up to 5-year cancellation for repeat offenses.
Read articleEvery business with physical installation needs an environmental license from MARN under Decree 68-86. The 6 categories (A, B1, B2, C+PGA, C, CR), predictive and corrective instruments, the SAGA online system, penalties from Q. 5,000 to Q. 100,000, and how we accompany you through the entire process.
Read articleComplete guide for Guatemalan companies hiring foreign workers: MINTRAB work permit (Government Agreement 528), IGM residency, the 90/10 rule (Article 13 of the Labor Code), mandatory Q. 3,000 training fee, apostilled documentation, 6-12 week timeline and non-compliance penalties.
Read articleWhy a Guatemalan corporation (S.A.) protects the owner's personal assets vs. a sole proprietorship (which is tied to the owner's tax ID and personal liability). Limited liability advantages, side-by-side comparison, incorporation requirements (min. 2 shareholders, Q. 5,000 capital), and common pitfalls to avoid.
Read articleThe 14 just-cause grounds under Article 77 of the Labor Code, step-by-step procedure to dismiss without opening a lawsuit, what the dismissal letter must contain, and special cases (pregnant employees, unionized workers, probation period).
Read articleMandatory and optional clauses of the written employment contract under Articles 28–31 of the Labor Code: parties, position, salary, schedule, place, term, trial period, and special clauses. What happens if the contract is verbal, and best-practice protections for employer and worker.
Read articleWhen does an employer become required to register with IGSS (3+ workers), how the registration process works at IGSS, IRTRA and INTECAP, monthly contribution rates (12.67% + 1% + 1% = 14.67%), monthly filing obligations, and fines for failing to register or pay on time.
Read articleMandatory registrations, prestations, working hours, IGSS, IRTRA, INTECAP, Bono 14, Aguinaldo, special leaves, occupational health and safety, anti-harassment policy (Decree 9-2022), penalties for non-compliance and an audit checklist.
Read articleThe biggest silent risk for a Guatemalan SME isn't taxes — it's labor lawsuits. A complete guide to protect your company from day one with proper contracts, IGSS registration, Bono 14, severance and proper dismissal procedures.
Read articleComparison of the traditional S.A. (Corporation) vs. the simpler S.E. (Entrepreneurship Society) in Guatemala. Capital requirements, complexity, recommended use cases.
Read articleTypes of business entities, real costs, timeframes and the complete incorporation process for SMEs and entrepreneurs in Guatemala.
Read articleStep-by-step requirements to legally open a restaurant in Guatemala: SAT NIT, IGSS, municipal license, MSPAS sanitary license, fire department inspection, alcohol permit, signage permit, costs and timing.
Read articleStep-by-step requirements to open a medical clinic: MSPAS sanitary license, active colegiado registration of attending physicians, equipment standards, biohazard waste plan, fire department, and municipal license.
Read articleOverview of trademark registration in Guatemala under the Industrial Property Law (Decree 57-2000): RPI registry, Nice classification, prior search, opposition window, validity, and renewal.
Read articleFull step-by-step trademark registration: phonetic and figurative search, application, fees, publication in the Diario de Centroamérica, opposition window, registration certificate, total timing and cost breakdown.
Read articleWhy registering your trademark matters: exclusivity, licensing, asset value, defense against infringement, online enforcement, and M&A value for your Guatemalan brand.
Read articleWhen a foreign company should open a branch vs. a Guatemalan subsidiary: Mercantile Registry filings, apostilled documentation, legal representative, capital, IGSS, tax implications and timeline.
Read articleWhere outside counsel adds the most value to a growing SME: entity structure, contracts, compliance, tax planning, employee growth, M&A readiness, and dispute prevention.
Read articleFirst-year obligations after incorporation: SAT NIT and RTU registration, IVA and ISR enrollment, accounting books, IGSS registration, municipal license, signage, and the documentation you need to keep from day one.
Read articleThe mandatory annual ordinary shareholders' assembly under the Commercial Code: deadline, notice of meeting, quorum, agenda, minutes book, deeds of resolutions, and what happens if the assembly is not held on time.
Read articleWhen an additional business location requires a branch registration, the Mercantile Registry filings, SAT update, IGSS, municipal license per location, and tax implications of operating multiple locations under the same company.
Read articleLegal strategy for collecting outstanding receivables in Guatemala — from extrajudicial collection to executive lawsuit. When each option works, costs and realistic timeframes.
Read articleVAT 12% on first sale, 3% stamp tax on subsequent sales, registry due diligence, public deed requirements and the complete process for buying or selling real estate in Guatemala. Includes constitutional restrictions for foreigners (15 km from borders and coasts).
Read articleMandatory clauses of a real estate sale and purchase agreement, public deed before a notary, RGP registration, stamp tax (IUSI) implications, common defects of title, and best-practice protections for both seller and buyer.
Read articleThe promise of sale agreement under Civil Code Articles 1674–1679: earnest money (arras) deposit, breach remedies, specific performance, expiration of the promise, and how to convert it into a definitive sale.
Read articleLease agreement under the Civil Code: rental term, security deposit, lawful rent increases, grounds for termination, eviction procedure, and best-practice protections for both landlord and tenant.
Read articleImmobilization is a registry tool that freezes a property at the General Property Registry to block any unauthorized transfer. Who can request it, term and renewals, removal procedure, and why it is one of the best anti-fraud protections for absentee or remote owners.
Read articleThe notarial authentication of signature ("auténtica de firma"): legal effect under the Notary Code Decree 314, common uses (banks, government filings, contracts), cost, and how it differs from a sworn statement and from an apostille.
Read articleThe notarial sworn statement ("declaración jurada"): how a notary documents declarations under oath, where it is required (banks, immigration, government filings, employment), perjury risk under the Criminal Code, and how it differs from a simple affidavit.
Read articleStep-by-step apostille process at MINEX (Ministry of Foreign Affairs) under the 1961 Hague Convention, list of common Hague countries, cost, timing, document types and the difference between apostille and consular legalization for non-Hague countries.
Read articleHow to legally transfer a vehicle (used car purchase): notarial deed of sale, SAT registry update, circulation tax clearance, traffic-fines lookup at the PNC, common pitfalls when buying a used vehicle, and how to protect both buyer and seller.
Read articleDifferences between a civil association, a foundation and an NGO under Guatemalan law: governance, minimum members, registration at the Civil Registry or Ministry of Interior, tax exemption requirements, and which non-profit structure best fits your mission.
Read articleIntroduction to corporate compliance for Guatemalan SMEs: anti-money laundering, internal regulations, anti-harassment policy, regulatory mapping and risk-based prioritization.
Read articleWhat to do when IGSS issues a sanction against your business: common triggers (late contribution filings, unregistered workers), appeal procedure, payment plans, statute of limitations, and key legal defenses under Decree 295 IGSS Organic Law.
Read articleMINTRAB inspection process, common labor sanctions (late payment of benefits, unsafe conditions, lack of payroll records), how to respond to a citation, defense letter, payment plan, and the motion-for-reconsideration appeal process.
Read articleSteps to take when there is medical negligence at a public hospital: MSPAS complaint, PDH ombudsman, criminal complaint, civil damages claim, evidence preservation, timing limits, and how to coordinate the medical, criminal and civil tracks.
Read articleDecree 47-2008 recognizes the legal validity of electronic communications and signatures — WhatsApp, email and SMS can create a binding contract. But there are dangerous gray zones: firing by chat, resignation over WhatsApp, and everything the law reserves for a notarial public deed. Real cases, concrete examples, and the six certification service providers authorized by the RPSC for advanced electronic signatures.
Read articlePassed by Congress on July 29, 2026 (107 votes), signed by President Arévalo on August 27, published in the Official Gazette on August 28, entering into force 60 days later. A reform — not a full repeal — of Art. 11 of Decree 15-98: 0 per thousand for residential and mixed use; 3, 6 or 9 per thousand for commercial use by value. Upsides, downsides for municipal finance, how to declare the use, and what to do with prior arrears.
Read articleTwo routes: a US notary public + state apostille + protocolization in Guatemala, or the Guatemalan consulate in the US. Textual powers under Art. 1690 Civil Code, costs, timelines, and the common mistakes that get a POA rejected.
Read articleLiving abroad does not erase Guatemalan inheritance rights. Extrajudicial succession before a notary (Decree 54-77), apostilled special POA, edict publication, adjudication and registry inscription — handled from Guatemala while you stay in the US. And under Decree 6-2026, inheritance tax has been abolished.
Read articleFour routes to obtain your Guatemalan civil record (consulate, family member in Guatemala, online platform, or attorney/gestor). MINEX apostille, certified translation for USCIS, and what to do if the birth was never registered.
Read articleFull registry due diligence, special POA with textual selling powers, safe buyer negotiation, IVA vs. Stamp Duty 3%, notary escritura in Guatemala, and repatriation of proceeds to your US account with IVE and origin-of-funds compliance.
Read articleAn abandoned car in Guatemala keeps generating IUSI, annual sticker fees and fines. Transfer via notarial deed with apostilled POA, verifications at SAT, PNC and the Movable Guarantees Registry — and why endorsing the circulation card is NOT a legal transfer.
Read articleCompared paths: voluntary notarial divorce, voluntary judicial divorce and adversarial divorce. Special POA with textual powers to file for divorce, settlement agreement tailored to Guatemalan law, and if the divorce was already granted in the US — how to obtain exequatur before the Guatemalan Supreme Court.
Read articleTwo mirror scenarios: a mother in Guatemala pursuing the father who emigrated, or a father in the US who wants to pay with legal backing. International rogatory letter for notice, transnational enforcement (Inter-American Convention 1989) and the criminal offense of denial of economic assistance (Art. 242 Criminal Code).
Read articlePainful but frequent: a brother, uncle or cousin who seized, rented or transferred the property. Registry diagnosis from abroad, urgent preventive annotation, nullity of deed, criminal complaint for document forgery and fraud, and the adverse-possession clock ticking against you.
Read articleGuatemala allows dual or multiple citizenship (Arts. 144-146 Constitution, Decree 1613). Children and grandchildren of Guatemalans, spouses of Guatemalans, Central Americans. RENAP or consular route, rights unlocked (coastal-strip property, unrestricted business ownership) and the key issue: the IRS + SAT tax overlay.
Read articleDecree 78-89 (as amended by Decree 37-2001) requires every private-sector employer to pay Q250 monthly as a minimum. You can pay more, but never less. The key is documenting it properly — contract, payroll and pay stub — so MINTRAB or a labor judge does not reclassify it as ordinary wage and hit you with retroactive liability.
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