From banknotes to plastic money: responsible use

The Ecuadorian government hopes that citizens choose plastic money (credit cards) for their purchases. Both inside and outside the country. This proposals are driven in the bill for fiscal balance

Since Ecuador can not issue banknotes, the scarcity of these or their output beyond the borders -with the difficulty and cost of their restitution- would be lessened if the Ecuadorians really feel encouraged to pay by credit card to deduct tax payments, following the submission of the bill for Equity of Public Finances.

On the one hand, VAT payments (from 12% typical) will be reduced when paying by card, and there will be no charge for the Remittance Tax (ISD) if the traveler pays with plastic up to a maximum amount of $ 5,000 per year. This exemption becomes considerably important from the time the law lowers the amount of ISD exonerated cash from $ 11,000 to $ 1,098.

Source: http://expreso.ec/economia/del-billete-al-dinero-plastico-uso-responsable-ED225402