Government urges Congress to act on tax reform

Colombia’s Government urged Congress Thursday to promptly pass government proposed tax reforms that include a tax to finance further implementation of the government’s security policy.

According to Finance Minister Oscar Ivan Zuluaga, the government expects a prompt and joint debate in order to send a positive signal to international financial markets.

The minister rejected assertions that congressmen will draw advantages from the government’s urgency to get the bill passed.

The government contemplates collecting COP1,3 trillion in 2011 through a 0,6% tax for people with an income higher than COP3 billion annually.

The bill will bring a reduction from 40% to 30% in the tax deduction for fixed-income investments. This measure plus the war tax would pour COP2 trillion into the national coffers, Zuluaga explained.

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