Our client Cisco Capital is the captive vendor finance division for Cisco providing or procuring financing to allow Cisco customers to buy or lease Cisco Information and Communication Technology, including hardware, software and related services such as maintenance services, installation services, hotline services, update services, etc. In this context, we were asked to provide legal advice on several questions and scenarios regarding cross border lending activities, with emphasis in the risk of configuration of a permanent establishment considering that our client intends to perform promotion and marketing activities in Peruvian territory. Likewise, we were asked to analyse the tax impact on Income Tax and VAT for our client, as well as the tax treatment that will be applicable to the personnel to be sent to Peru.
