Posted On 25 Jul 2017
The sector wants to eliminate the Tax on the Exit of Foreign Currency and the Advance of the Income Tax. The public administration thrives on these resources.
Dialogue and agreements are costly. The private sector came with a list of requests for the Legislature. The proposal includes reforms, eliminations, and reductions of taxes that, according to entrepreneurs, curb investment.
The requirements, clarify the proponents, have technical support. During a meeting with legislators last week in Quito, they showed, for example, the impact of the Capital Gains Law promoted by former President Rafael Correa.
President of the Chamber of Construction of Guayaquil Enrique Pita attended the meeting and explained that the Capital Gains Law does not meet its objective: “to control the speculation of the land.” That is why he proposes to revise and reform the norm to “reactivate the industry.”
President of the Legislature José Serrano agrees. It is one of the priorities of the Legislature, he said, to analyze the effect of the 75% tax on “extraordinary gains” in the second sale of a property.
The government is open to dialogue, but it should not be forgotten that the real culprits of the crisis are the Ecuadorian entrepreneurs, who exploit workers by paying them the minimum wages and making them working hours to twelve hours a day.
A prevalent situation in Latin America, where labor rights have not evolved at all. Employers demand fewer taxes, but will they raise the salaries of their employees?
Ecuador, a country of landowners who claim rights, but who hardly respect the rights of workers. This is the reality that must be revealed because probably the past government was mediocre, but not less the slave behavior of the great Ecuadorian businessmen and all those who make up their chambers of commerce. (I)