The general director of Budget, José Rijo Presbot, said that the existing anxieties around the Tax Reform they will calm down in the next few weeks when there is a formal proposal.

He also specified that when that proposal exists, since he denied that the circulating document is official, a consensus will be reached and not necessarily outside the Economic and Social Council (CES).

I Rijo Presbot recognized that Law of the National Development Strategy of the Dominican Republic 2030 (Law 1-12) what it orders is a fiscal pact, to which according to the law the political, economic and social forces of the country must arrive.

“I like to talk about a fiscal pact because that is what the National Development Strategy orders, that those who violated it now want it to be fulfilled …”, said Rijo Presbot, referring to the previous government of the Dominican Liberation Party (PLD ).

The official indicated that making a fiscal pact in 2015, when it should have been done, violated the re-election project of then-president Danilo Medina, who was reelected in 2016.

He also recalled that in 2012 the PLD made it submit to Congress a tax reform, called Fiscal Paquetazo, in which a 16% Tax on Transfers of Industrialized Goods and Services (ITBIS) was applied to oil, coffee, chocolate , among other products.

Rijo Presbot explained that To speak of a fiscal pact, one must first speak of rationalizing spending and reducing evasion.

He indicated that to reduce evasion it is necessary to create a more friendly, simpler tax system and ensure that the citizen has some type of return on the taxes he pays and declares.

“Because taxes are paid here but the State does not provide greater security, more quality health, education, job opportunities, better infrastructure, better prison system …”, declared the official this Wednesday during an interview on the Telematutino 11 program.

Entrepreneurs Warning

Yesterday the Association of Industries of the Dominican Republic (AIRD) warned, through a press release, that in the country it is necessary to put an end to “short-termism in fiscal matters” and to avail itself of the mandate of the END that indicates that the CES is the space for the discussion and concretion of pacts.




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