The PLD economic team has proposed an increase to the ITBIS (VAT) tax from 12% to 16%. The ITBIS would be applied to earnings from yields on savings, commercial paper or certificates in banks. The proposal furthermore calls for an increase to the tax on telecommunications and advertising from 6% to 10%. The 16% ITBIS tax would also be levied on airfare tickets, cargo shipments and insurance premiums. In addition, the proposal includes an additional 10% tax on tobacco and alcoholic beverages and a 5% tax on hotel rooms. Hoy newspaper publishes the proposal today.