Given the disagreement of Taxation with the sanction of the law that allows deducting 100% of VAT on supermarket purchases, the Executive will veto the legislation sanctioned yesterday by Congress.
The law that proposes to introduce items of food, cleaning and supermarket purchases in general to the VAT deduction fIt was sanctioned by Congress, with the 100% version, raised in Deputies.
Read More: Deputies ratify the VAT deduction of supermarket purchases
The project that modifies articles 88 and 89 of the Law of Modernization and Simplification of the National Tax System was sanctioned in the initial version of the Chamber of Deputies and forwarded to the Executive.
The proposal contemplates thatThe taxpayers of the VAT Credit of Personal and Professional Services, can introduce, in their respective liquidations, invoices referring to items of food, personal hygiene, home maintenance, medicines of the taxpayer for their use and that of their family, among others.
The House version of Senators proposed that the deduction be 30%, with the approval of the Ministry of Finance, while that of Deputies, proposed 100%.
The full Senate did not manage to gather the absolute majority of 23 votes to remain in the introduced modification, so the legislation was sent to the Executive in the original version of 100%.
Related note: Law of 100% deduction of VAT in supermarkets is sanctioned
Deputy Minister of TaxationÓscar Orué confirmed to journalist Samuel Acosta that the president will veto the legislation, because it will imply a drop of 100 million dollars in the collection.
In fact, the institution in disagreement with the proposal from the beginning is the Undersecretariat of State for Taxation (SET), which does not agree with the theory of including other items and which rejects even more emphatically the percentage of 100%
According to designer Hugo Ramírez, the legislation will benefit some 600,000 people that currently limit the deduction to the products of the items in which they work.
