In his talk to the nation last 18 August 2021, President Luis Abinader mentioned the need for a national dialogue on some 12 major issues. Foremost among these issues is a tax reform, as foretold by Administrative Minister of the Presidency Jose Ignacio Paliza. There are also scores of issues with the social cecurity system. Each one of these areas is a really “hot potato” for any politician, but Abinader is determined to carry out policies that benefit the small and medium entrepreneur, while producing more income for the state.
One idea that he talked about late last week was the possibility of lowering some taxes while eliminating a lot of the tax exemptions. He said lower taxes, together with an improved tax code and better tax collection would be a major step forward for business since the small and medium entrepreneur would be able to enter the formal sector with fewer stumbling blocks, and this in turn would bring more workers into the formal sector. The President noted that the tax code, as it now stands, is both complex and complicated and does not favor the small entrepreneur.
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Diario Libre
6 September 2021