On May 18, 2023, the Executive Branch presented five Bills to the Legislative Assembly related to fiscal and public finance matters. The mentioned projects are:
- File 23759: Modification of the Tax Code regarding joint and several liability in tax matters.
- File 23760: New Income Tax Law.
- File 23761: New Vehicle Property Tax Law.
- File 23762: Strengthening of Public Finance Management.
- File 23763: Review of some current tax incentives and benefits (among others, linked to VAT).
On this occasion we share a description of file 27360 that aims to repeal the current Income Tax Law and replace it with a new one. In the words of the Government, the proposed modification will promote the progressivity, fairness and equity of income tax, while complying with international standards that, among others, would allow the country to leave the list of non-existent countries. cooperators of the European Union.
The proposed Law intends to divide our Income Tax into three taxes or certificates: (i) Personal Income Tax, (ii) Legal Entities Income Tax, and (iii) Non-Profit Income Tax. residents.
At first glance, the Spanish model would be taken as a parameter, whose tax is also divided into these three types of certificates, and with which, it would migrate to a new paradigm where it is presumed, for example, that all the income of a legal person they must be taxed under a single schedule at a rate of 30%, instead of the current regime, where certain income produced or generated by legal entities can enjoy a reduced rate (Chapter XI of the current Income Tax Law).
Below is a brief summary of each of the three tax cards. Read more
