2014News

Hacienda says Internet tax will go into effect, others dispute it

The Minister of Hacienda Simon Lizardo says that taxing Internet purchases less than US$200 is legal. Lizardo supports the decision announced by the Customs Agency that Internet purchases less than US$200, that were previously exempt by Law 277-12, could now be taxed. In a convoluted series of past rulings, Law 277-12 had authorized the revocation of the section of Art. 49 of Law 253-12 Fiscal Reform and reinstated Presidential Decree 402-05.

On the issue, the President of the Senate, Reinaldo Pared Perez has said the taxation would be in violation of the Constitution.

Likewise, the Justice and Transparency Foundation (FJT), the Dominican Alliance for Consumer and User Defense (Asodecu), and the Dominican Chamber of Electronic Commerce (Cadolec) submitted a legal recourse against the Customs Agency at the Administrative Superior Court (TSA) on grounds that the notice is in violation of the authority of a presidential decree and a law passed by Congress. Spokesman for the group, Felipe Herrera who is president of Asodecu, said the announcement was irrational and imprudent.

The Dominican Association of Courier Companies (Asodec) says that in addition to violating Decree 402-05, Law 277-12, the ruling is also in conflict with the DR-CAFTA trade agreement and the 2010 Constitution.

“Consequently, any attempt to administratively establish a Customs charge is an abuse of power, totally unconstitutional and even subject to criminal penalties in accordance with our legal framework,” stated Asodec.

http://www.diariolibre.com/noticias/2014/08/04/i731351_entidades-someten-accin-contra-aduanas-por-intento-gravar-compras-por-internet.html