Following the bill deposited on Monday by Senator Omar Fernández about indexing Income Tax (ISR) for income of up to RD$52,000 per month, The legislators of the ruling party (Modern Revolutionary) reacted to the initiative and stated that, although it would be an ideal plan, the country does not have the economic conditions to implement it.
The president of the Senate, Ricardo de los Santos, explained that, although the proposal “goes down very well with society,” the fiscal reality prevents its immediate execution. Furthermore, he hinted that, if the tax reform proposed in 2024 had been achieved, it might be possible. “I would like to be able to release the salary up to 70 or 80 thousand pesos, but the reality is that we have a deficit budget, the truth is that there are no conditions at this time to do so,” he said.
Senator Alexis Victoria Yeb agreed that the measure would be ideal to free up the tax burden of workers, but he also pointed out that the current context does not allow it.
You can read: Unionists join at the proposal of Omar Fernández; They ask for less taxes on salaries
On the other hand, the opponent Eduard Alexis Espíritusanto believes that the ruling party’s arguments are “pure excuses,” pointing out that the Government takes loans without considering the budget deficit it alleges.
