IGV Calculator
General Sales Tax, IGV (includes the IPM)
Peru’s IGV (Impuesto General a las Ventas) consists of two components: the IGV itself and the IPM (Impuesto de Promoción Municipal). However, these are not separately itemized on receipts. The total is referred to as IGV.
Tax calculator needs two values. You can e.g. fill in tax % and price - and get price before tax as result. Price before tax and price are rounded.
You can also choose the tax % by clicking the percentage in the table below.
Peru | |
| IGV | 18% |
| IGV, small restaurants and hotels | 10.5% In 2026, a combined 10.5% rate (8% IGV plus 2.5% IPM) applies to qualifying micro and small restaurant, hotel and tourist accommodation businesses. Annual sales must not exceed 1,700 UIT, and at least 70% of income must come from these activities, calculated under the statutory rules. Businesses with qualifying economic links to other businesses or domestic or foreign business groups are excluded, as are members of groups that do not collectively meet the requirements. |
| Upcoming changes: | |
| 1 Jan 2027 | The reduced tax rate for small businesses operating in the restaurant, hotel and tourist accommodation sectors rises from 10.5% to 15%. SUNAT |
| 1 Jan 2028 | The reduced tax rate for small businesses operating in the restaurant, hotel and tourist accommodation sectors ends. IGV rate for them returns to the standard 18%. SUNAT |
| Past changes: | |
| 1 Jan 2026 | The combined rate for qualifying micro and small restaurant, hotel and tourist accommodation businesses increases from 10% to 10.5%: IGV remains at 8%, while IPM rises from 2% to 2.5%. SUNAT, Special rate for restaurants, hotels and tourist accommodation; Laws 32219 and 32387 |
Note! The VAT information on this page is general information, not tax advice. The information is not exhaustive. VAT rules include many exceptions and special cases. Check the treatment of your situation in the tax administration's guidelines. Information last checked 6 Oct 2026.
Articles:
VAT rounding: the EU, the UK and other European countries
The EU VAT Directive and the Court of Justice of the European Union leave VAT rounding rules to be decided at national level. National rules vary. In the UK, HMRC allows VAT on B2B invoices to be rounded down to the nearest whole penny.
Roundings in VAT calculation: Mathematically impossible prices?
There are a whole range of VAT-inclusive prices that cannot be mathematically arrived at if the tax is calculated from the VAT-free price. One example is 3.99. These prices are also possible, but then the VAT-free price must be interpreted as rounded.
VAT Gap - How much VAT is left uncollected in EU countries?
9.5% of VAT was left uncollected in EU countries. See the list of EU countries and candidate countries.
In Europe there is VAT - in the US sales tax
In Europe, companies belonging to the production chain account for the VAT paid by the consumer to the state in proportion to their value added. The US sales tax, on the other hand, is billed entirely by the company that made the consumer sale. Sales tax is paid to local operators, not to the state.
Many of today's taxes were already in use in Antiquity. Deciding on taxation has moved from autocrats to parliaments and the level of taxation has risen. In earlier times taxes were used to wage wars, today taxes are used to maintain welfare states.