Abinader: No new taxes in 2021

Dolores

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Feb 20, 2019
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President Luis Abinader was prompt to react to strong opposition and announced he would submit to Congress an amendment removing the proposed new taxes in the 2021 National Budget. In an address to the nation on the evening of Thursday, 8 October 2020, the President addressed the nation’s concerns.



The taxes would have affected the Christmas wage and Internet purchases, among others. The revenues to be collected were estimated at RD$628 billion. Abinader said he had instead reached an agreement for tax advances with the Barrick Gold mine to compensate for the needed resources. He announced the government is taking loans, contemplates selling assets and is having savings with more efficient government spending.



Abinader said the Economic and Social Council (CES) is summoned to move forward with the Fiscal Pact as ordered in the National Development Strategy Law 1-12. The...

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PJT

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Jan 8, 2002
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Removing the new taxes from the 2021 budget is a wise move. New taxes would be adding salt into the wound of the pandemic affected economy.


Regards,

PJT
 
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Jan 9, 2004
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Removing the new taxes from the 2021 budget is a wise move. New taxes would be adding salt into the wound of the pandemic affected economy.


Regards,

PJT


The 2020 budget is busted and required bond placements (borrowing) to meet its obligations.

No new taxes for 2021 (new revenues), coupled with the severe decline in the tourism sector (major source of revenue and hard currency) spells another budget busted and economic headwinds for an already troubled economy.

Countries like the DR, that derive major sources of revenue and hard currency from tourism, desperately need a vaccine............and even then it will take time, at least until November 2021 (my observation) for the return of tourism in any meaningful way.


Respectfully,
Playacaribe2
 

william webster

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He has a trick up his sleeve....

The Tax Amnesty offer....
bring your assets up to current value... then you save any future capital gains (25% ?)

The snag is.... you'll start paying annual taxes on the new, higher amount......

Spend today - save in the future

Won't solve the whole problem.... is a tax increase
 
Jan 9, 2004
9,434
712
113
He has a trick up his sleeve....

The Tax Amnesty offer....
bring your assets up to current value... then you save any future capital gains (25% ?)

The snag is.... you'll start paying annual taxes on the new, higher amount......

Spend today - save in the future

Won't solve the whole problem.... is a tax increase

So technically he can say...........it is not a new tax, but better enforcement of an existing tax........and;


You can definitely sense the urgency of the governments fiscal situation.........getting Barrick to make advance tax payments.

Will there be enough collected revenue to keep the peso in check?


Respectfully,
Playacaribe2
 

CristoRey

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Apr 1, 2014
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Barrick gold got a sweet heart deal.
They can afford it and should be paying
a lot more than they do. I read a few weeks
ago they don't pay a penny for any of the
nickle or cobalt collected during the mining
process for the gold the extract.

When it comes to raising taxes, they need to
get their own house in order first by cutting wasteful
spending and bloated payrolls for starters.
 
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