2024News

Evangelical churches protest proposed taxation on churches

The Christian Dialogue and Representation Table (La Mesa de Diálogo y Representación Cristiana) has vehemently opposed a proposed fiscal modernization plan that seeks to impose taxes on evangelical churches.

Bishop Reynaldo Franco Aquino, the entity’s president, argues that this attempt not only disregards the crucial role churches play in the country’s social and community fabric but also undermines their essential work beyond religion: social accompaniment and formative action.

The bishop emphasized that churches maintain a vast network of community social work, operating over 500 evangelical schools that provide accessible and quality education to thousands of students nationwide.

Franco Aquino stated that the proposed modification of Article 50 of Law 122-05, which has guaranteed a series of essential tax exemptions for the operation of churches and non-profit organizations, would severely affect their work.

The current proposal not only eliminates these exemptions but also mandates that evangelical churches pay taxes such as ITBIS and IPI, imposing levies on funds exceeding 5 million pesos. Additionally, it would impose taxes on funds deposited in banks, regardless of whether they originate from donations for temple construction or support for social programs benefiting vulnerable communities. According to the bishop, this is a direct attack on the savings and resources dedicated to their social and spiritual work, which are committed to transforming society.

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17 October 2024