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The tax on profits will be applied to natural persons
Posted On 24 Apr 2016
The Assembly is already processing the new tax reform. The text, which according to the government will reduce the effects of the earthquake occurred on Saturday, April 16, proposes a tax on profits of natural persons.
This was not clarified from the beggining. President Rafael Correa presented the proposal on Wednesday in a message to the nation, but did not speak of the change. The next day, Patricio Rivera, Coordinating Minister for Economic Policy and Leonardo Orlando, director general of the Internal Revenue Service, explained the content of the document at a news conference, but also omitted the modification.
What does the bill say? People who “have obtained incomes from Ecuadorean sources in the fiscal year 2015, different from those obtained in a dependent relationship, will have to pay the 3% of these profits.”
There is an additional consideration: the tax shall be levied on income (without including the dependence relationship) that exceed $ 12,000. The citizens of Manabi and the south of Esmeraldas are exempt from paying this tax (I).
