Objective - This study aimed to analyze the impact of the tax law enacted in December 2017 on SMEs in the agricultural sector in Ecuador. Theoretical Framework - Permanence over time and growth are two of the most important aspects for a company; laws that are not properly grounded can affect these two factors. Design/methodology - The study population was agricultural SMEs that filed their financial statements with governmental control agencies and income during 2017, 2018 and 2019. Financial and growth indicators were applied with direct and indirect action of income tax for subsequent comparison with the base year 2017 with the following years, 2018 and 2019.