The Senate has approved the controversial tax reform bill as it was received from the Chamber of Deputies, amidst intense government criticism, as reported by Listin Diario. The total collection capacity of the bill is RD$24.359 billion. The Senate must now send the bill to the Executive Branch where it will be signed into law or vetoed. Since the Senate had previously declared this bill urgent, the President has only three days to sign it into law or make observations. The first vote in the Senate was 21 out of 27 whereas the second vote was 19 out of 27. Abstaining Senators were Cesar Augusto Matias, Enriquillo Reyes, Dagoberto Rodriguez Adames, Bernardo Aleman, Tonty Rutinel Dominguez, Manuel Emilio Ramirez Perez, Jose Tomas Perez, and Victor Mendez. The bill contains Income Tax exemptions for salaries under RD$23,500 per month as from January 2006. The 1% luxury property tax remains with an exemption for properties under RD$5 million. Also included is the anticipated 1.5% tax on gross sales.
Diario Libre reports that the bill has passed both chambers after three months of study, public hearings and debates in Congress. It includes a RD$12 tax increase on premium gasoline, and RD$3.27 on diesel. It also includes a 5% increase on Income Tax for earnings over RD$900,000 per year. It excludes approximately 300 items from VAT (ITBIS), among which are cooking oil, sugar, agricultural raw materials, animal medicines, and bird and fish feed.
El Caribe reminds readers that the bill must now be signed into law or vetoed by President Leonel Fernandez. During the Senate debate, many opinions were contradictory. Almost all Senators were against the content of the bill, but they were in favor of its approval. Senate and Chamber of Deputies Presidents Andres Bautista Garcia and Alfredo Pacheco visited the Presidential Palace yesterday as soon as the tax reform bill had passed. They were observed to be speaking to Secretary of the Presidency Danilo Medina but it was not disclosed whether they met with the President. Bautista said that the Senate approved the bill as received from the Chamber of Deputies because there was no time for further modifications.
Clave Digital reports that the bill was passed at 3:40 pm Thursday just 10 minutes after it was declared urgent.
The International Monetary Fund (IMF) has praised the government's achievements in terms of recovery of economic growth, inflation control and renegotiation of the foreign debt, as well as for measures that have made the country recover confidence, according to a report in Diario Libre. However, the organization believes there are still issues to be solved, such as the electricity problem, where there are great levels of loss, financial risks and fiscal weaknesses. According to a report dated 17 October and published yesterday, the economy will grow by more than 4.5% this year, inflation will be between 6% and 9%, whereas it is expected that the tax reform will allow greater efficiency in collections and a fiscal surplus.
Vice President Rafael Alburquerque signed a communique on Thursday together with the foreign ministers of the South American Common Market (MERCOSUR), to establish a work route and the start of negotiations towards the signing of a Free Trade Agreement between MERCOSUR and the DR. Diario Libre reports that MERCOSUR is made up of Argentina, Brazil, Paraguay and Uruguay. Thursday's document is the basis for the proposed FTA between that group of nations and the DR.
The Senate has unanimously ratified a US$15 million loan for the construction of the El Palomino hydroelectric project, between San Juan and Azua provinces. The installed capacity of the generator will be 99 MW and it will be located in Boca de los Rios. According to Listin Diario, the commission's favorable report was presented by Cesar Diaz Filpo, Pedro Alegria, Tommy Duran, Ramiro Espino, German Castro Garcia, Fausto Lopez Solis and Jose Tomas Perez. The short-term commercial loan was agreed upon by the Dominican state and BNP Paribas Bank in France.
Cardinal Nicolas Lopez Rodriguez has said that many of the lawmakers who the public elects to Congress should be in jail. According to Listin Diario, he favors the implementation of a system whereby people who are going to represent the electorate in Congress should be chosen for their capacity, dedication, and will to serve. But that is not the case and many should be in jail instead of Congress, according to the leader of the Catholic Church. He is also against letting people who are pending trials in court to be accepted as candidates for congressional and municipal positions. He said that a party - no matter which - that allows this to happen is irresponsible and the people should know that.
District Attorney Jose Manuel Hernandez Peguero says that he plans to indict Quirino Ernesto Castillo for another case of drug trafficking which involves different people, some of whom have already been arrested while others are at large. Listin Diario reports the DA as saying that Castillo is being accused of directing an operation involving a shipment of 1,136 kilos of cocaine seized in Puerto Rico on 31 March 2003. Former colonel Lidio Arturo Nin Terrero, foreign exchange agent Jose Guante and Samuel Eduardo Rogriguez Cordero (Eduardito) are also involved in the case. The latter is at large. The case will be presented to court before 19 December.
Diario Libre indicates that, according to the DA, "many more" will be included in this next accusation. "We have identified those responsible, and Quirino is the sponsor of the shipment, but the authorities of the previous government administration did not do anything about it", said the DA. The drug was shipped from the DR to Puerto Rico.
El Caribe says that charges will be presented after a broad investigation performed by joint prosecutors and security agents that identified the people responsible for the shipment. He said that the drugs passed through the DR under a system called "delivery surveillance" which is used by security organizations to track the routes used by traffickers and follow up to uncover all those involved.
The Olympic Center will not be affected by work performed on the Santo Domingo Metro, according to Office for Reorganization of Traffic (OPRET) Director Diandino Pena, as reported by Listin Diario. On the contrary, athletes will benefit from the installations as there will be two stations servicing the center along Maximo Gomez avenue, one on the corner of John F. Kennedy and the other on the corner of 27 de Febrero. Both intersections are areas where there is a large flow of passengers.
Juan Luis Guerra will present the closing concert of his "20 Years Tour" at the Felix Sanchez Olympic Stadium, after visiting several countries, on 17 December, 10 years after his first show at that venue. According to Listin Diario, the production will include performances by Jose Amable Frometa and Eva Torroja. Local counterparts will be Pavel Nunez, Marco Hernandez, El Prodigio, and DJ Mariela. The show will include three giant screens, light shows and fireworks. Juan Luis gave details of plans for the concert during a press conference.
Peter Tchaikovsky's The Nutcracker will be presented at the National Theater's main auditorium on Friday, Dec 9th at 8:30 pm, Saturday and Sunday the 10th and 11th, at 4:00 pm and 7:00 pm. The performance includes the National Classical Ballet, the Concert Ballet, the Contemporary Ballet of Santiago, and Baillet, and is directed and choreographed by Carlos Veitia. Leading dancers Lisbell Piedra, Alyhaydee Carreno, Armando Gonzalez, Pastora Delgado, Silvia Crespo, Jochy Munoz, Bryand Veitia, Gracielina Oliveros and Miguel Leedor, together with another 100 performers, will be onstage. Tickets are selling for RD$400, RD$300 and RD$200. The Nutcracker is a story full of fantasy and feeling that takes place on Christmas Eve at the Silvehauss family home, when young Claire's incredible dream is brought to life.
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