NewsWhore
11-20-2006, 04:00 PM
Finance Minister Vicente Bengoa's announcement of VAT increases on a series of basic food items has both consumers and traders in a twitter. Cooking oil, chocolate, coffee, butter, margarine and sugar will soon be subject to the 16% rate from which they are currently exempt. The common cry is that these are items that affect the country's very poorest families as well as those who can afford to pay more. Right off the bat, the PRD's Cristian Paredes said that his party would not take part in any hearings about the new tax package. Diario Libre says that PLD deputy and president of the Chamber of Deputies, Julio Cesar Valentin, said that he felt it would be in the interest of all parties to listen to as many sectors as possible before approving any legislation. Traders are saying that a tax on items such as cooking oil will hurt ordinary consumers. Oil currently sells for RD$23 per pound and the new tax would increase this to RD$26.68, while brown sugar, currently at RD$13 pesos a pound would go up to RD$15 per pound. Coffee would reach nearly RD$100 per pound. A juice vendor told Diario Libre that he could not pass on the added cost on to his customers, for fear of losing business.
The Presidential Minister for Technical Affairs, Temistocles Montas, dismissed the idea that the new taxes would affect the poor. In his comments, Montas refuted the opinions of more than 600 organizations. According to the minister, as the whole country is set to benefit from the tax proposals, the poor would also benefit.
More... (http://www.dr1.com/index.html#2)
The Presidential Minister for Technical Affairs, Temistocles Montas, dismissed the idea that the new taxes would affect the poor. In his comments, Montas refuted the opinions of more than 600 organizations. According to the minister, as the whole country is set to benefit from the tax proposals, the poor would also benefit.
More... (http://www.dr1.com/index.html#2)