No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeNewsCosta RicaCosta Rica proposes law to legalize (and tax) ride-hailing app Uber

Costa Rica proposes law to legalize (and tax) ride-hailing app Uber

Uber’s questionable legal standing in Costa Rica may soon reach a resolution.

The country’s Executive Branch on Tuesday proposed a law that will allow “taxi drivers and services such as Uber to coexist simultaneously, under fair conditions of competition,” according to a press release from the Public Works and Transport Ministry (MOPT).

“Our commitment is to progress in a system where taxis and transportation technology platforms can coexist under conditions of fair competition,” said President Carlos Alvarado.

“It is an issue that as a country we have postponed for many years, and it was time to make decisions about it.”

The bill would designate transportation platform companies such as Uber as public services. The companies would have to register with the Public Transportation Council and enact policies promoting rider safety.

Services such as Uber would be subject to a value-added tax of 13 percent. The proposal also says companies that “operated prior to the enactment of this law” would have to pay a registration fee of nearly $13,800,000, which would be earmarked to fund modernizations to Costa Rica’s public-transportation systems, including taxis.

Uber did not immediately return a request for comment, but in a September 2018 open letter to the government, the company said that “since our first day of operations in Costa Rica, Uber has sought to be part of the country’s development and to improve transportation options for Costa Ricans.”

[UPDATE: Read Uber’s response to the proposed law here.] 

Taxi drivers have staged repeated protests against ride-hailing services since Uber launched operations in Costa Rica in August 2015. Uber drivers have continued to offer rides, though they often do so surreptitiously to avoid hefty fines from the Public Services Regulatory Authority (ARESEP).

Uber: Proposed law a start, but ‘far from a proposal that encourages innovation’


This story was made possible thanks to The Tico Times 5 % Club. If only 5 percent our readers donated at least $2 a month, we’d have our operating costs covered and could focus on bringing you more original reporting from around Costa Rica. We work hard to keep our reporting independent and groundbreaking, but we can only do it with your help. Join The Tico Times 5% Club and help make stories like this one possible.

Support the Tico Times
This story was updated at 12:30 p.m. to include Uber’s statement on the legislation.

Trending Now

Nayib Bukele Opens 70 More Schools in El Salvador Education Push

El Salvador’s government inaugurated 70 renovated public schools on Sunday as the third batch under President Nayib Bukele’s Dos Escuelas por Día program. The...

Costa Rica Environmental Groups Host Concert to Protect Sharks

A coalition of environmental organizations will hold a concert Friday night in San José to call attention to the decline of shark populations in...

Porter Airlines to Start Direct Toronto–San José Flights in December

Canadian carrier Porter Airlines will begin direct seasonal service between Toronto Pearson International Airport and Juan Santamaría International Airport on December 2, 2026, opening...

Costa Rica Court Orders Urgent Action to Protect Tempisque River

Costa Rica’s Constitutional Court has ordered several state agencies and local governments to act together to address the degradation of the Tempisque River, after...

Chaves Calls for Radical Overhaul of Costa Rican State in Final Address

Outgoing President Rodrigo Chaves used his final address to Costa Rica’s Legislative Assembly today to call for a deep restructuring of the Costa Rican...

El Salvador Advances Geothermal Expansion with World Bank Support

Geothermal energy supplies about 21 percent of El Salvador’s net electricity, placing the country among the world’s leaders in its use of this renewable...
Loading…

Latest News from Costa Rica

Costa Rica Coffee Maker Chorreador
Costa Rica Travel Insurance
Costa Rica Travel