Control Of Legal Entities In Ecuador

Control of legal entities in Ecuador

Introduction

A legal entity are recognized in itself as a creation of law, which is designated as an existing being but not as a person, but as an institution that, following due to the circumstances it is implanted either by one or more real persons orexisting, in order to undertake one or more general projects, in such a way the corporations, institutions or foundations begin, which would have endless projects or purposes within the artistic, scientific, religious, literary, altruistic, altruisticwhich can be established with or without profit, they would also be subject to rights, duties and obligations, so that they can be divided into: collective legal persons or also as individual legal persons, and they are also recognized as personsmorals and natural persons. Followed by a collective legal person has the full capacity to acquire rights and obligations, but that in itself is not a real person but that law designates them and considers them as a legal person, understanding that they are not only a simple set of people orA certain amount of funds used to fulfill their objective, legal persons are also recognized as a collective entity composed of persons and by funds applied or assigned to a common entity to those who are seen different legal identity.

Developing

In our country, legal persons, their institutions, whether these corporations and their foundations within the Ecuadorian tax regime are recognized as institutions without any profit, the order for the practice of the Internal Tax Regime Law promulgated in the official registry supplementNo.

209 of June 8, 2010, in its art. 19 provides the following: ”The income of private non -profit institutions will not be legally constituted, religious worship; charity; promotion and development of women, child and family; culture; art; education; research; Health; sports; professionals; unions; classists; political parties; Those of the communes, indigenous peoples, cooperatives, unions, federations and confederations of cooperatives and other associations of peasants and small farmers, legally recognized, in the part that are not distributed, provided that their assets and income are destined for their specific purposes and They comply with the formal duties contemplated in the Tax Code, the Internal Tax Regime Law, these regulations and other laws and regulations of the Republic; its income must be constituted, except in the case of universities and polytechnic schools created by law, with contributions or donations in a percentage greater than or equal to those established by the Internal Revenue Service by resolution." (INTERNAL., 2010)

To begin, it is understood that the various institutions, foundations or corporations are privately established by a set of individuals which are characterized by complying with specific help to individuals who are in a vulnerable situation, these institutions would not payNo State Tax,

as long as the acquired goods, funds or donations given by other institutions, or by anonymous people, the same that are intended only for the help and benefit of the people who need it, thus fulfilling all their purposes and established purposes , taking into account that these will be provided without any profit, that is, without having to receive money, being clear what their duties and obligations are within society, in itself the tax regime to which these institutions are subject within From the community, they are inclined to the individual considering it as a merit that the country grants them when they are free of income tax payment, for that reason or reason, these institutions such as non -profit foundations and corporations have been gone multiplying numerously, which in a certain way lack control when complying with all the requirements already established, one of the requirements is Know the objective and purpose of said organization, foundation or corporation, such as its purposes or intentions with society, the correct direction of the same and the identification that was given or granted the legal personality,- therefore it is of the utmost importance to give namely that the one responsible for the control of the fulfillment of the duties, obligations dependent on the various organizations of the community is the internal income service, and the one in charge of the control of the proper functioning and compliance with the foundations and corporations would be Only of the state portfolios, since these are the ones who awarded the legal personality, so it is considered essential that the internal income service has a certain bond with each of the wallets of the State in order to have a precise control and control Correct institutions, foundations or corporations.

conclusion

So if the institutions, foundations or corporations perform with the necessary requirements, they would not have any inconvenience, in the same way they must adequately and correctly comply with their duties and obligations which are granted by the state portfolios Instantly being called legal persons, the only portfolios being responsible for their control and compliance, for that reason they must be clear about their purposes for society in general, strictly said institutions, foundations or corporations were created with The sole purpose of providing individuals to improve the living conditions in which they are, satisfy their needs and deficiencies-, likewise the human being of these institutions are forced to associate or group with other people, to be able to work on Correct way, and also achieve their purposes, purposes that Cie RTA could not be achieved by themselves, undergoing rigorous control, when the public administration realizes that non -profit organizations such as foundations or corporations are not complying with the appropriate and indicated requirements indicated above will have to Mandatory way to contribute to the payment of their taxes without exception,- in our state there are various foundations and corporations in which not all have adequate control by the authorities in charge. That is why many of them are not obliged to comply with all their requirements, but also many of them do not have the necessary knowledge, the rules or rules to which they are exposed following their creation.