A last-minute proposal by the Executive Branch has been sent to the Chamber of Deputies Finance Commission introducing changes to the tax reform bill, which will be debated today, according to Diario Libre. President Leonel Fernandez has proposed to exchange the 2% advance tax on imports for a 1.5% advance tax on wholesales. A similar recommendation had been made by the US Embassy. The tax reform bill is the eighth item on the Chamber of Deputies’ agenda for today.
Listin Diario reports that the government’s decision was made just hours after the US Embassy objected the application of a 2% advance tax on imports. Chamber of Deputies President Alfredo Pacheco also informed that the International Monetary Fund (IMF) is demanding fiscal reform in the range of RD$33 to RD$35 billion as a contingency, in case some of the proposed taxes do not provide the desired effects. Pacheco also added that lawmakers are maintaining their opposition to the application of VAT (ITBIS) on basic foodstuffs.