Regulatory Evolution and Statistical Behavior of RIMPE among Formal Taxpayers in Ecuador, Period 2022-2024

Abstract

Starting a business in Ecuador, as in many countries worldwide, involves facing not only market challenges but also a complex tax system that has historically represented a barrier to the formalization of small businesses. Given this reality, the Ecuadorian State implemented, as of January 2022, the Simplified Regime for Entrepreneurs and Popular Businesses (Régimen Simplificado para Emprendedores y Negocios Populares – RIMPE), replacing the RISE and the Tax Regime for Microenterprises (Régimen Impositivo para Microempresas – RIM), with the promise of facilitating tax compliance for smaller taxpayers. The objective of this research is to analyze the regulatory evolution and statistical behavior of RIMPE among formal taxpayers in Ecuador during the period 2022-2024, identifying the main legal and operational changes, as well as the territorial variation of taxpayers enrolled in this regime. Methodologically, the study is based on a documentary review of current tax regulations and on the quantitative analysis of the Multidimensional Statistics of the Internal Revenue Service (Servicio de Rentas Internas – SRI). Given that the available information does not disaggregate the subcategories of the regime homogeneously, the statistical analysis is developed on the aggregated "RIMPE" category. Among the most relevant results, it stands out that RIMPE has generated mixed effects: although it simplified administrative procedures, it also increased the tax burden on microenterprises with reduced margins, exacerbated by a deficient tax culture and lack of regulatory knowledge. In conclusion, RIMPE represents a significant advancement in Ecuadorian fiscal formalization; however, its design requires adjustments that consider the real contributory capacity of small businesses to ensure effective and sustainable tax compliance.