More than 11,000 taxpayers in Ecuador have been identified by the Servicio de Rentas Internas (SRI) for failing to declare and pay all income tax withholdings from employees and suppliers. The SRI’s recent control actions revealed an estimated loss of $7 million due to these omissions. This conduct could be considered tax fraud, which carries prison sentences ranging from five to seven years under current law.
“Those who omit declaring and paying withheld taxes are causing harm to the state and may face severe legal consequences,” said an SRI spokesperson.
The SRI has intensified its oversight efforts nationwide as part of ongoing measures to improve tax compliance and ensure public resources are protected.
