Waiting for a word

[NewsWhore]

President Leonel Fernandez is to address the nation today, and his speech will concentrate on explaining the government's proposed fiscal reform. Fernandez's comments will be closely scrutinized, partly because he has so far refused to comment on the subject, to avoid adding to all the speculation, and because many are anxious to find out the scope of the government's tax adjustments. The fiscal reform, which government spokespeople are preferring to spin as a "fiscal rectification" looks to garner an added RD$18 billion for next year, but many in the public and private sectors have, for the last month, argued that the government should instead cut public spending and increase fiscal efficiency, if they want to collect more money. It has already been announced that tax on alcohol and cigarettes will be increased, as will ITBIS (VAT), but so far there has been no word on what other reforms are in the offing. In today's Hoy newspaper, sausage and meat producers took out full-page advertisements urging the government against taxing their products, and many in the public and private sectors are asking that no taxes should be imposed on basic family goods. Yesterday, Hoy newspaper reported the IMF is recommending the country tax financial transactions, and a wide range of items that are exempt, including books and magazines, and pharmaceuticals, among other items.
Hoy also reported that the National Council for Private Business (CONEP) and the National Association for Young Entrepreneurs (ANJE) both say that increased taxes could harm productivity, especially in light of the country's eventual entry into DR-CAFTA. The production sector says that the government should reform public spending, reduce the government payroll, stop taking lavish trips. The private sector also favors eliminating the energy subsidies.

More... (http://www.dr1.com/index.html#1)