PERU

On December 15, the Constitution Committee approved the opinion of the bill that proposes to delegate to the Executive Branch the power to legislate on tax, fiscal and economic reactivation matters. The approved norm grants 90 days for the Government to legislate in the requested matters, although 120 days had been requested. Likewise, the legislative board resolved to withdraw from the bill the proposed measures to tax digital platforms, modify the first and second category income tax (rents and capital gains, respectively). It is expected that the legislation will be submitted to the plenary for consideration in the short term.

During the debate, the congressmen stated that the best way to raise taxes and obtain higher income is through legislative initiatives, therefore, they suggested the Executive Branch to present its proposals individually, so that they can be properly debated by the Congress. However, Congressmen Luis Aragón Carreño (Acción Popular), José Jerí (Somos Perú) and Wilson Soto (Acción Popular), expressed that it is not the right time to impose more taxes in the country.

On the other hand, parliamentarian Jaime Quito (ruling party) defended the intention of the Executive Branch to improve the mining tax regime in order to obtain more revenue and close the social gaps of the populations. Meanwhile, José Balcázar (ruling party) informed that he would present before the plenary a minority opinion including the points not considered in the bill presented by the Executive Branch.