On April 1, new measures that the government is analyzing to include in the tax reform bill, which it is preparing to send to Congress in the next few days, were announced. The first of these is the possible elimination of the 5% withholding tax paid by foreign investors in the local bond market.
It would also include modifications to the fiscal sustainability law to limit the Government’s indebtedness. Another initiative would be the implementation of a 2% wealth tax that would cover large companies and individuals with net assets of more than 5,000 million pesos ($1.4 million dollars).
A few days ago, the Ministry of Finance released a document detailing some of the central points to be contained in the bill and emphasizing the intention to increase tax collection by 1.8% and reduce tax evasion by 1.1%, in order to alleviate the economic effects derived from the Covid-19 pandemic in the country.