WHAT HAPPENED IN THE VENEZUELAN LEGAL ENVIRONMENT IN THE FIRST HALF OF 2025?
Socio
This LEĜA Perspectives aims to summarize the most relevant aspects of the Venezuelan legal environment in the first half of 2025.
I. Regulations
Between January and July 2025, three National Assembly Acts have been published[1].
In this first half of 2025, several regulations were issued on tax matters, in particular, rules on exemptions and exemptions and modifications to the Customs Tariff. Some exemptions were approved. The Law on the Tax System of the Capital District was also enacted, which had been on the legislative agenda of the National Assembly since 2024.
Also noteworthy is the Organic Law of the Plan of the Homeland of the 7 Great Transformations 2025 – 2031.
Aspects of the Special Economic Zone regime were regulated.
1. Organic Law of the Plan of the Homeland of the 7 Great Transformations 2025 – 2031
In the Official Gazette No. 6,907 of May 25, 2025, the Organic Law of the Plan of the Homeland of the 7 Great Transformations 2025 – 2031 was published. This Law includes the Plan de la Patria for the next 6 years. It is the government plan that has been approved every 6 years. It allows the identification of issues of interest to the national government.
The 7 topics proposed for this government plan are the following:
Economic: the new national economic model
Human city for good living. Utilities and infrastructure
Citizen Security and Defense, Unity and Territorial Integrity
Social. Social protection and development
Politics. Political Transformation and People’s Power. The New Methods of Revolutionary Government
Ecosocialism, science and technology
Geopolitics. The geopolitics of peace and integration.
In particular, on the new national economy, it is pointed out:
“Strategically, it implies the conception and construction of a Venezuela Power, of economic democracy and the construction of socialism. To think about the new society from Bolivarianism, the human being at the center of gravity of the economic system.”
2. Taxation
A. Suspension of application of exemptions and exonerations
a. Exemptions in customs matters
Decree No. 5,104 was published in the extraordinary Official Gazette No. 6,890 of March 6, 2025, which establishes exemptions in customs matters.
b. Suspension of VAT exemptions
Decree No. 5,145 was published in the extraordinary Official Gazette No. 6,918 of June 30, 2025, which suspends the application of the exemptions established in numeral 1 of article 17 of the Constituent Decree of Partial Reform of the Decree with the Rank, Value and Force of Law that establishes the Value Added Tax (VAT Law), as summarized in this LEGA Informa. This Decree was issued in the context of an economic emergency.
Article 17, paragraph 1, of the VAT Law had declared the exemption of “imports of the goods and services mentioned in Article 18 of this Law.” Then, Article 18 of the Law presents a list of products exempt from VAT.
Thus, in accordance with Article 1 of Decree No. 5,145, the application of exemptions to imports of goods and services listed in Article 18 of the VAT Law is suspended.
However, Article 2 of the same Decree No. 5,145 then exempts VAT on definitive imports of tangible movable property classified in the tariff codes indicated in Appendix I, which is an integral part of that same Decree No. 5,145.
c. Exemptions from import taxes and VAT on the import of goods
On the other hand, also in that extraordinary Official Gazette No. 6,918 of June 30, 2025, Decree No. 5,146 was published, which aims to establish the exemptions from import taxes and value added tax on the import of the goods indicated in Chapter II of said Decree, as summarized in this LEGA Informa.
Chapter II of this Decree exempts ninety per cent (90%) of the Import Tax and ninety per cent (90%) of the VAT on definitive imports of tangible movable property, new or used, classified in the tariff codes indicated in Appendix I, which is an integral part of that Decree (Article 3).
The other exemptions provided for apply to imports from State entities.
d. Exemptions relating to securities or other instruments of a similar nature issued and guaranteed by the Central Bank of Venezuela
In the extraordinary Official Gazette No. 6,905 of May 8, 2025, Decree No. 5,127 was published, by means of which the enrichment obtained by the holders, natural and legal persons resident or domiciled in the Bolivarian Republic of Venezuela is exempted from the payment of Income Tax, under the terms and conditions provided for in that Decree, from investments made in securities or other instruments of a similar nature issued and guaranteed by the Central Bank of Venezuela.
B. Customs Tariff
In the extraordinary Official Gazette No. 6,902 of April 23, 2025, Resolution No. 012-2025 of the Ministry of People’s Power of Economy and Finance was published, through which a good is incorporated within Subchapter II corresponding to “Goods subject to the Tariff Quota Regime” of Chapter 98 of Article 37 of Decree No. 4,944 through which the Customs Tariff is promulgated.
In the Official Gazette No. 43,149 of June 13, 2025, Resolution No. 019-2025 of the Ministry of People’s Power of Economy and Finance was published, through which the merchandise mentioned therein is incorporated, within Subchapter II corresponding to “Goods subject to the Tariff Quota Regime” of Chapter 98 of Article 37 Decree No. 4,944 through which the Customs Tariff is promulgated.
Decree No. 5,122 was published in Official Gazette No. 43,111 of April 21, 2025, which dictates the Partial Reform of Decree No. 4,944 of April 24, 2024, containing the Customs Tariff.
In the extraordinary Official Gazette No. 6,918 of June 30, 2025, Decree No. 5,147 was published, amending Article 8 and other articles of Decree No. 4,944, by which the Customs Tariff is promulgated, in the terms indicated therein, as outlined in this LEGA Informa.
A summary of the recent changes to the Customs Tariff can be seen in this LEGA Outlook prepared by attorney Luzmely Rey.
As we reviewed in this LEGA Informa, on June 25, 2025, Decree No. 5,143 was published, through which the Decree is issued within the framework of the Economic Emergency, for the Efficient and Prioritized Execution of Parafiscal Contributions and Contributions Received by the National Public Administration.
Through this Decree, the National Executive establishes the exceptional mechanisms for the prioritized collection of resources from some parafiscal contributions, contributions, rates, commissions, surcharges and public prices received by the National Public Administration in order to meet the urgent needs of the population under the Emergency Decree.
C. Capital District Tax System
As outlined in this LEGA Informa, on June 2, 2025, the Law of the Tax System of the Capital District was published in the extraordinary Official Gazette No. 6,909, which regulates everything related to the organization, control and collection of the tax one per thousand (1×1,000), rates, electronic tax stamps and penalties that correspond to the government of the Capital District.
Therefore, this Law regulates all the essential elements of the following taxes: (i) the tax on credit instruments, (ii) the tax on any means of payment, (iii) administrative and service fees and (iv) electronic tax stamps.
D. Tax Unit
In the Official Gazette No. 43,140 of June 2, 2025, Ruling No. SNAT/2025/000048 was published, through which the value of the Tax Unit is readjusted from nine bolivars (Bs. 9.00) to forty-three bolivars (Bs. 43.00), as summarized in this LEGA Informa.
3. Special Economic Zones
In the Official Gazette No. 43,124 of May 9, 2025, Resolution No. DM/No. 014 was published by the Ministry of People’s Power of Economy and Finance, which dictates the Rules that regulate the Special Regime of Economic, Fiscal, Customs and other Incentives applied in matters of Special Economic Zones and Resolution No. DM/No. 015, by which the Rules on the Maximum Limit of the total of all Incentives granted for the Development of Participation Projects in Special Economic Zones are issued, as summarized in this LEGA Informa.
4. Small and medium-sized businesses
In the Official Gazette No. 43,159 of June 30, 2025, Resolution No. 026/2025 was published, by which it is declared as a Venezuelan COVENIN Standard of National character; Standard 5042:2025 Guide to Good Practices for Micro, Small and Medium-sized Enterprises (MSMEs).
5. Sectoral regulations
A. Anti-money laundering rules
Official Gazette No. 43,096 of March 27, 2025, published the Regulations relating to the management and control of risks related to the crimes of Money Laundering, Financing of Terrorism, Financing of the Proliferation of Weapons of Mass Destruction and other illicit acts, applicable to the subjects obliged by the National Superintendence of Securities.
In Official Gazette No. 43,096 of March 27, 2025, the Regulations relating to the management and control of the risks of Money Laundering, Financing of Terrorism, Financing of the Proliferation of Weapons of Mass Destruction, applicable to subjects regulated by the National Mining Inspection and Inspection Service (SENAFIM) were published.
Official Gazette No. 43.098 of March 31, 2025, published Resolution No. 010.25, which dictates the Rules relating to the management and supervision of the Risks of Money Laundering, Financing of Terrorism and Financing of the Proliferation of Weapons of Mass Destruction (LC/FT/FPADM), applicable to Banking Sector Institutions.
B. Foods
In the Official Gazette No. 43,159 of June 30, 2025, Resolution No. 027/2025 was published, by which it is declared as a Venezuelan COVENIN Standard of a National nature; Norm 237:2025 Sugar. Determination of Polarization. Test Method. (2nd Review).
C. Telecommunications
The following Resolutions of the National Telecommunications Commission were published in Official Gazette No. 43,150 of June 16, 2025:
Ruling No. 064, amending the Administrative Ruling containing “The Conditions for the Qualification of Free Use Equipment”.
Ruling No. 071, which dictates the quality-of-service parameters for the Subscription Broadcasting Service.
Ruling No. 096, which dictates the measures for the Implementation of the IPV6 Protocol, as outlined in this LEĜA Informa.
D. National Automotive Industry
In the Official Gazette No. 43,125 of May 12, 2025, Joint Resolution No. DM/No. 013 and DM/No. 001 was published, which establishes the Standards for the Operation of the National Automotive Industry, issued by the Ministries of People’s Power of Economy and Finance and of Industries and National Production.
E. Aeronautical regulation
In the Official Gazette No. 43,132 of May 21, 2025, Joint Resolution No. DM 020, DM 059738 and DM 017 was published, through which the Rules for Coordinating the Control of Civil Aeronautical Activity that is carried out with Remotely Piloted Aircraft (RPA) in the National Territory are issued.
6. Justice system
In the extraordinary Official Gazette No. 6,916 of June 20, 2025, the Law Approving the Convention on the Establishment of the International Organization for Mediation was published.
II. Appointments
1. Authorities of the National Assembly
In the extraordinary Official Gazette No. 6,873 of January 5, 2025, the Agreement was published by which the Deputies Jorge Jesús Rodríguez Gómez, as President of the National Assembly; Pedro José Infante Aparicio, as First Vice President of the National Assembly and Americas Deputy Valentina Pérez Dávila, as Second Vice President of the National Assembly; and citizen María Alejandra Hernández Aldana, as Secretary of the National Assembly and citizen José Omar Molina Palencia, as Undersecretary of the National Assembly, for the period 2025-2026.
2. Swearing-in of the President of the Republic
In the Official Gazette No. 6,877 of January 10, 2025, the National Assembly published the Act of Swearing-in of citizen Nicolás Maduro Moros, as Constitutional President of the Bolivarian Republic of Venezuela, for the Presidential period 2025-2031.
3. Minister of People’s Power for Ecosocialism
In the extraordinary Official Gazette No. 6,886 of February 20, 2025, Decree No. 5,095 was published, appointing Ricardo Antonio Molina Peñaloza as Minister of People’s Power for Ecosocialism.
4. Minister of People’s Power for Productive Agriculture and Lands
In the extraordinary Official Gazette No. 6,882 of February 10, 2025, Decree No. 5,090 was published, appointing Julio César León Heredia as Minister of People’s Power for Productive Agriculture and Lands.
5. Creation of the Ministry of People’s Power for Foreign Trade and appointment of its Minister
In the extraordinary Official Gazette No. 6,878 of January 15, 2025, Decree No. 5,080 was published, through which the Ministry of People’s Power of Foreign Trade is created. Decree No. 5,081 was published in the same Official Gazette, appointing citizen Coromoto Godoy Calderón as Minister of People’s Power for Foreign Trade, as summarized in this LEGA Informa.
6. Creation of Vice-Ministries
In the extraordinary Official Gazette No. 6,875 of January 6, 2025, Decree No. 5,073 was published, by which the Offices of the Vice Minister indicated therein are created; the citizens mentioned therein are appointed to occupy the positions specified therein; and the name of the Offices of the Vice Minister indicated therein is modified. of the Ministry of People’s Power of Hydrocarbons.
7. Deputy Minister of Digital Economy, Banking, Insurance and Securities
In the extraordinary Official Gazette No. 6,875 of January 6, 2025, Decree No. 5,076 was published, appointing Jimmy Alexander Berríos Ojeda, as Vice Minister of Digital Economy, Banking, Insurance and Securities, of the Ministry of People’s Power of Economy, Finance and Foreign Trade, as head of office.
8. President and Directors of the Central Bank of Venezuela
In the extraordinary Official Gazette No. 6,898 of April 11, 2025, Decree No. 5,119 was published, appointing Laura Carolina Guerra Angulo as President of the Central Bank of Venezuela; and appointing the citizens mentioned therein as Directors.
9. Affiliation of the Foreign Trade Bank and the Export Promotion Agency
Decree No. 5,128 was published in Official Gazette No. 43,130 of May 19, 2025, through which the Ministry of People’s Power for Foreign Trade, the Foreign Trade Bank and the Export Promotion Agency are attached.
10. Establishment of the Foreign Trade Committee and allocation of powers
Decree No. 5,105 was published in the extraordinary Official Gazette No. 6,890 of March 6, 2025, which creates the Presidential Commission, on a permanent basis, called the “Foreign Trade Committee”.
Also in the extraordinary Official Gazette No. 6,890 of March 6, 2025, Decree No. 5,106 was published, by which the Foreign Trade Committee is attributed the competence to evaluate and decide on the applications for Certificate of Non-National Production or Insufficient National Production, filed by importers in order to enjoy the benefits of exemption or exemption provided for in the Constituent Decree by which it is issued the Organic Law of Customs and the Decree with the Rank, Value and Force of Law that establishes the Value Added Tax.
11. President of the CVP
In the extraordinary Official Gazette No. 6,875 of January 6, 2025, Decree No. 5,074 was published, appointing Marco Antonio Magallanes Grillet, as President of the Venezuelan Petroleum Corporation S.A. (CVP), as head of office.
12. Executive Vice President of Petróleos de Venezuela, S.A.
In the extraordinary Official Gazette No. 6,875 of January 6, 2025, Decree No. 5,075 was published, appointing Jovanny José Martínez Navarro, as Executive Vice President of Petróleos de Venezuela, S.A. (PDVSA), as head of office.
13. New Public Administration Schedule
In response to the climate emergency, the Venezuelan government announced a series of energy-saving measures that will be implemented by the National Public Administration and other bodies of the Public Power, including the Courts of the Republic as of March 24, 2025. A summary of the schedules can be seen in this LEGA Informa.
In practice, normal hours were returned as of May 19.
III. What to expect from the presidential proposal for constitutional reform?
The legislative agenda of the National Assembly also includes the presidential proposal for constitutional reform that was presented to the National Assembly on February 15.
On May 25, President Maduro said that the draft constitution will be delivered to the deputies in January, when the new National Assembly is installed.
IV. The Economic Emergency Decree
On April 10, 2025, the Agreement of the National Assembly approving the Economic Emergency Decree was approved.
The constitutionality of the Economic Emergency Decree was declared by Judgment No. 0533 of the Constitutional Chamber of the Supreme Court of Justice of April 11, 2025.
In that judgment, it is indicated that the Economic Emergency Decree would have been published in the Official Gazette No. 6,896 extraordinary of April 9, 2025.
[1] A summary of the National Assembly for the year 2025 can be seen in this LEĜA Outlook.
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