In the midst of the electoral campaign, some sectors take the opportunity to make pertinent demands in pursuit of the economic improvement of the country and, therefore, their businesses.
The first of them was the Chamber of Industriesthese were followed by Rural Federation (FR) and finally, the Union of Exporters of Uruguay (UEU).
The request of the Rural Federation
The Rural Federation issued a statement at the end of May where they called for “conserving the important achievement” of lowering the inflation and maintain the free floating of the dollar, but they demanded to “recognize the negative impact of the exchange rate delay on the competitiveness of the productive sectors”.
In this way, they asked to review those “blind” national taxes, as they described taxes on land “that are not linked to the productivity of the same”, considering “the tax burden with this type of taxes excessive, which are a significant burden in complex situations.”
In parallel, they requested incorporation into COMAP of IMEBA tax producers, as well as the elimination of the urban ticket subsidy incorporated into the price of the gasoil”.
On the other hand, they asked for the elimination of 1% municipal. “It is an unfair, arbitrary tax, directed at a single item, extremely bureaucratic, used to block producers and has a significant impact on production,” they argued.
At the same time, they referred to the real estate contribution and they pointed out that “the adjustment mechanisms of this tax have generated excessive growth in this tax,” which is why they called for “generating a reasonable adjustment mechanism to the vagaries of economic reality.”
Exporters, in favor of tax relief
Although the UEU demands an improvement in the exchange rate delay, they also defend the free floating of the exchange rate and highlight the low inflation.
From there, they proposed greater tax relief for the sector as compensation. In this way, they asked to review, like the FR, the “blind taxes that are not related to the economic result of the company.” From the UEU they maintained that they should be reduced and gave the example of the Wealth Tax.
On the other hand, they proposed reviewing the rates of the Business Activity Income Tax (IRAE). In that sense, they expressed the possibility of analyzing “modifications based on the casuistry of different sectors, depending on the times of the productive processes; give the possibility of discounting losses for more years; reinstate the adjustment for inflation; encourage reinvestment through adjustments in the distribution of dividends; enable accelerated amortization for capital assets.”
Industrialists join the order
The Chamber of Industries was the first to issue a document to deliver to the government and the presidential candidates with the aim of modifying some aspects of the Uruguayan economy. However, the request for tax relief came about the conflict in FNC where they proposed the elimination of the Specific Internal Tax (Imesi) as a mechanism of tax relief for the sector.
The president of the CIU, Fernando Pache, defended the eventual modification of the tax when presenting before the Labor and Social Security Legislation Commission of the Chamber of Deputies, but asked that it be extended to the entire health sector drink, by stating that the problems of competitiveness They are general.
“If there is a benefit or a revision such as the elimination of the Imesi, that has been discussed previously, we see it as something important and necessary,” he expressed Pache at a press conference after speaking at the Parliament.
Source: Ambito
