Income Tax

Honduran salaried employees can request refunds of excess income tax (ISR) withheld from their paychecks through the tax authority (SAR) by submitting required documents including pay stubs, proof of withholding, and a formal application.

Former Central American Bank president Dante Mossi cautioned that a proposed reform to exclude bonuses from income tax (ISR) calculations would create tax-evasion opportunities and reduce government revenue, reversing two decades of IMF-backed reforms.