According to Presidential Technical Secretary Temistocles Montas, new proposals have arisen for lawmakers’ consideration and which they have promised to analyze regarding the proposed tax reform bill in Congress. Diario Libre reports that he did not offer greater details but said there have been advances towards an agreement. Chamber of Deputies President Alfredo Pacheco did not disclose the new options presented by the government technicians.
Listin Diario reports that the government had reached an agreement with producers of coffee, cooking oils, and sugar for their inclusion in the 16% VAT (ITBIS) as stipulated in the tax reform bill in Congress. These producers will not be directly affected as the VAT is paid by the consumers. According to Montas, the agreement stipulates that if the tax is removed from one of these products, it will automatically be removed from the others. Coffee, sugar and oil are always in great demand and, according to authorities, would contribute RD$4 billion in taxes. Montas also said progress had been made with the hotel sector, the government having committed itself to seeking a solution to their problems after the reform is passed. He insisted that the tax reform does not increase the amount paid by the people as the products are currently paying 13% for exchange rate commission and customs tariffs which will be eliminated, something opposition leaders are trying to hide. He complained that the PRD lawmakers are lying when they say the government is creating new taxes.