La Libertad Norte waives interest and penalties on fees for 150 days

The Municipal Council of La Libertad Norte approved a tax amnesty that exempts late payment interests and fines derived from fees and special contributions, with a validity period of 150 days. The measure is contained in Decree No. 3, published in the Official Gazette Volume No. 452, Number 180, dated September 29, 2026, pages 29 to 31, and applies to delinquent taxpayers in the districts of Quezaltepeque, San Matías, and San Pablo Tacachico.

The regulatory framework of the condonation

The ordinance is based on Article 203 of the Constitution of the Republic, which recognizes the economic, technical, and administrative autonomy of the municipalities, and on Article 204 numeral 1, Article 7 subsection 2 of the General Municipal Tax Law, and Articles 3 numeral 1 and 30 numeral 4 of the Municipal Code, which empower the council to issue ordinances and agreements.

The Municipal Council justifies the measure based on the need to provide incentives to resolve tax delinquency, allow payment agreements, and extinguish obligations generated according to the General Municipal Tax Law, with the purpose of alleviating the economic burden on the population, encouraging collection, and reducing delinquency rates. The text states that there is no constitutional or legal prohibition against forgiving or waiving the payment of interests or accessories of the principal obligation.

The municipality of La Libertad Norte was created by Legislative Decree No. 762, dated June 13, 2023, published in the Official Gazette No. 110, Volume 439, dated June 14, 2023, which integrated the districts of Quezaltepeque, San Matías, and San Pablo Tacachico.

What is condoned and for how long

• Exemption from the surcharge for late payment interests generated on fees and special contributions.
• Exemption from the fine on all fees and special contributions.
• Validity of the benefit: 150 calendar days from the date of publication in the Official Gazette.
• Entry into force of the decree: eight days after its publication.
• Payment plans: maximum of 12 installments, with immediate payment of the first installment.
• Cessation of the benefit: upon failure to pay two installments of the agreed plan, except in cases of force majeure or fortuitous events evaluated by the Municipal Council.

Who can apply

Natural or legal persons who are in arrears on fees or special contributions may apply for the benefit; those who have signed a payment plan and request its annulment to enroll in a new one; those facing administrative or judicial collection processes without a final judgment; those who have defaulted on a previous plan; those who have filed a request for review, appeal, or contentious-administrative trial, provided they withdraw such actions; government institutions with pending contributions; and taxpayers who are up to date in the filing of asset declarations, balances, financial statements, and inventories.

The regulation also covers taxpayers of the Market System in arrears for the lease of premises and sales stalls, tenants with current or defaulted payment plans, users of the General Administration of Cemeteries with pending fees for perpetual and temporary plots and for authorizations of private cemeteries, and registered public space merchants who maintain debts.

Fines resulting from the administrative sanctioning process for contraventions imposed by the municipality’s contraventional delegate are excluded.

How and where to process payment

Interested parties must request the exemption at the respective offices of each district; requests are forwarded for approval to the Sub-Directorate of Tax Administration. Payment is made at the tax administration collection office of each district or at the location designated by the municipality, in cash or by electronic transfer to institutional accounts.

The decree was issued in the Council Chamber of the municipality of La Libertad Norte on September 10, 2026, and signed by Jorge Alexander Escamilla, municipal mayor, and Licentiate María José Mármol Argueta, municipal secretary.

The amnesty represents a limited window for thousands of taxpayers across the three districts to regularize accumulated debts without paying interest or fines, while the municipality seeks to recover liquidity and reduce its delinquency. Once the 150-day period expires, the benefits will cease immediately and without prior notice; therefore, interested taxpayers must formalize their payment plan within the period of validity.

Source: Official Gazette, Volume No. 452, Number 180, September 29, 2026, Municipal Mayoralties, pp. 29-31 (official reference: Decree No. 3, Registry No. F49173).