Investing from Chile

Gains from selling Chilean shares that trade often on the exchange pay a single tax of 10 percent. The same applies to units of Chilean mutual funds and investment funds. This rule is in article 107 of the income tax law. In August 2026 Congress passed a law that would lower this rate to 0 percent from 2027, but it had not been published when this page was written. Foreign shares and ETFs do not use article 107. Their gains are taxed as normal income, together with your other income.

Your personal income tax, the Impuesto Global Complementario, runs from 0 to 40 percent. Dividends from Chilean companies come with a credit for part of the tax the company already paid. For US shares and funds, the US keeps 15 percent of dividends under the tax treaty in force since 2024, if you signed the W-8BEN form with your broker. You report your yearly income in the Operación Renta, with form 22, by 30 April.

Besides your mandatory AFP savings, you can save in an APV, which stands for Ahorro Previsional Voluntario. You choose between two regimes. In regime A, the state adds a bonus of 15 percent of what you save, up to 6 UTM a year. In regime B, you deduct what you save from your taxable income, up to 600 UF a year. The UTM and the UF are units that rise with inflation. If you withdraw early, you lose the benefit. Since August 2025 employers also pay an extra contribution, which rises step by step to 8.5 percent by 2033.

Time deposits and savings accounts at banks are guaranteed by the state up to 200 UF per bank and 400 UF across all banks per calendar year. Shares, funds and brokerage accounts are not covered. Brokers are supervised by the Comisión para el Mercado Financiero (CMF). The peso floats freely, and the Banco Central de Chile targets 3 percent inflation.

APV is one of the few tools in Chile that rewards you for saving, either with a state bonus or with lower taxes. If you choose the regime that does not fit your tax rate, you give up part of that benefit every year. Where a fund is based also matters, because article 107 applies only to Chilean shares and funds.

Four pages go deeper. Inflation and purchasing power explains why savings in UF keep their value. Currency risk explains what the exchange rate does to savings in dollars. Asset allocation explains how to split your savings between types of investment. The expense ratio shows what a yearly fund fee costs over time.