The Internal Revenue Service (SII) will apply a property tax reduction for the second half of 2026 to properties damaged by natural disasters that occurred this year. The reduction will be proportional to the damage sustained by each property.
According to CNN Chile, the benefit covers properties affected by fires, floods, earthquakes, storms or other similar events. The damage must cause a significant decrease in the property's value.
According to the SII, the measures "will ensure that the tax burden on properties damaged by any of these weather events reflects their current condition." Property tax is the levy that property owners pay.
The reduction will be automatic and will not require an application. It will apply to properties that sustained damage in areas reported to the service by the competent authorities, or where the damage is recorded in the available information and the SII can verify it. Once the assessment is complete, the agency will notify the taxpayers receiving the benefit.
Owners whose properties sustained damage and are not included in the automatic reduction may request a review of their property's assessed value for tax purposes. To do so, they must submit a Real Estate Application on the sii.cl website and provide evidence of the damage.
Accepted documents include certificates issued by municipalities, regional ministerial secretariats, regional governments or other entities that provide emergency support. Photographs of the damage and any other evidence that can verify how much the property's value has decreased are also accepted.
Using that information, the SII will assess each case. It will then determine whether to adjust the assessed value for tax purposes, reduce property taxes or apply both measures, so that tax obligations reflect the property's actual value after the disaster.
According to Meganoticias, the initiative follows the approach of relief measures the service has applied in previous emergencies. The SII also stated that the mechanism may be extended to those affected by new disasters during 2026. The sources do not specify application deadlines or the number of properties that could qualify for the benefit.
