Warns that a tax reform would break social peace
Warns that a tax reform would break social peace

Santo Domingo – The lawyer, politician and former presidential candidate, Ismael Reyes, assured that a tax reform at this time would break social peace and reverse the economic recovery process.

In the same way, the process of job creation that the Dominican Republic needs in this context of global crisis that hit the local economy and threatens to worsen.

He revealed that “evidently the Government has given signs that the project to be discussed will be a new fiscal patch.”

He said that it would be aimed, not at avoiding evasion and expanding the base where it can collect, but rather that what it seeks is to extract more resources from those that already pay taxes.

“Taxing products and services that would directly affect the pockets of a social class that seems suffocated by the tax burden that has been weighing on them for years,” he said.

He warned the Government that it is known that a tax increase does not generate more revenues, but rather promotes informality and evasion.

International crisis with local impact

The former presidential candidate explained that the Government has its hands tied due to the increase in a barrel of oil in the international market.

“As the only option you have to use the safe-conduct given by Decree 625-2011, freeze them, generating a debt that immediately ends up coming out of the pockets of citizens who consume excessively expensive fuel.”

Regarding the price of food, he said that, according to the food price index of the United Nations Food and Agriculture Organization (FAO), they registered an increase for 12 consecutive months.

He said that in just seven months 10 products have greatly increased their prices this year, according to a report from the Central Bank.

“If we add to these increases the shortage of products that is looming in this country and already affects others as a result of the stoppages in production generated by the pandemic at a global level, as well as the delay in the transport of goods and some commodities, In addition to an increase in taxes, we will have an abrupt loss of social peace, an increase in poverty and an accelerated reversal of economic recovery and job creation, ”Reyes said.

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