NewsWhore
06-07-2011, 03:10 PM
The announcement that Congress will listen to the sectors affected by the taxation bill that the President sent to Congress has led economists to believe that the whole package is negotiable. The tax reform, as currently set out, is conceived as a government mechanism for possible negotiations on highly conflictive points such as the 1% tax on financial sector assets. Economists estimate that this will be the key issue for negotiations, since at this point it does not make sense to eliminate the tax on checks that will represent RD$5.8 billion in this year's budget, while they will get between RD$7 billion to RD$8 billion with the 1% tax on bank assets.
Bernardo Fuentes told Diario Libre that, like other economists, he thinks that this is a tax reform presented for negotiations, in which they will have to negotiate the 1% tax on financial assets as well as the reduction of 25% to 10% of the income tax exemptions.
Other economists, who chose to remain anonymous, think that the tax reform will be approved but with changes, since intense lobbying has already started among the affected sectors that want to have the least tax possible, some of which are suggesting a higher tax on automobile license plates.
There will also be pressure from elements in the gambling sector that will try to have the measure repealed, because they feel that it repels and affects the tourism industry.
Nonetheless, Fuentes says that the world trend is to tax the "vices."
More... (http://www.dr1.com/index.html#2)
Bernardo Fuentes told Diario Libre that, like other economists, he thinks that this is a tax reform presented for negotiations, in which they will have to negotiate the 1% tax on financial assets as well as the reduction of 25% to 10% of the income tax exemptions.
Other economists, who chose to remain anonymous, think that the tax reform will be approved but with changes, since intense lobbying has already started among the affected sectors that want to have the least tax possible, some of which are suggesting a higher tax on automobile license plates.
There will also be pressure from elements in the gambling sector that will try to have the measure repealed, because they feel that it repels and affects the tourism industry.
Nonetheless, Fuentes says that the world trend is to tax the "vices."
More... (http://www.dr1.com/index.html#2)