Cohep warns of a crisis if the bill is approved

Michael Taylor
Michael Taylor

Global Courant 2023-04-26 11:38:24

With the resounding rejection of the private sector for not having been reviewed in the proposed bipartite dialogue, the draft decree of the Tax Justice Law is in the hands of National Congress with shape changes in its joints.

He Honduran Council of Private Enterprise (cohep) through a statement indicated that the regulation “places Honduras at a clear competitive disadvantage compared to other countries in the region that have focused their efforts on tax policies aimed at attracting new investment and job creation.

“We alert the Honduran population that this Tax Law project will cause the extinction of thousands of sources of employment, the collapse of the economy, access to the basic basket will be restricted and it will be ensured that Honduras remains the poorest country on the continent”, underlines the letter.

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President of the Fenagh

Hector Ferreira:

“If it has been found that there are people who have abused, the law should be applied.”

With the presence of delegates from several of the member organizations of the private initiative, the pronouncement was read a few hours after the Minister council unanimously approved the referral of the aforementioned legal framework to the Legislative power to give the corresponding procedure.

Although Marlon Ochoadirector of Income Administration Service (HE), affirmed that the set of tax reforms had been socialized, this process was limited to press conferences as well as meetings in universities and not with multiple sectors.

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The disclosed proposition, which consisted of 41 articles, underwent formal changes regarding the duration of the tax benefits in the two new tax regimes created at the time that briefly announced additions were made. Deep reforms.

“We recognize that the country demands deep tax reforms, but these must be accompanied by the effort of private companies that allow the economy to be revitalized in terms of its formalization, thereby expanding the base of taxpayers that would allow the State to obtain more tax revenue for through investments”, stands out in the third numeral of the document of the Cohep.

The institution that brings together 70 representative organizations from all productive sectors trusts that now that the law -which has been branded as a “tax package”- is duly discussed in the CN, urging the deputies “not to give in to threats of persecution by members of the Executive powerand to act with integrity and courage”.

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“We hope that this power of State (referring to Congress) do comply with your duty to listen to the different sectors of Honduran society and do not allow the approval of a bill that has not been agreed upon and that affects so many citizens.

The business sector regretted that it was not possible to establish a dialogue with the Government about the law due to the influence of a group of officials who consider private companies an enemy and not an ally.

“It is important to mention that it is stated that the project has been publicized when it is evident that what has been done are exhibitions attacking private companies and maliciously insinuating that undertaking is a sin. Conveniently, it is obvious that they are the businessmen those who contribute the most with economic resources so that the population has health, education, security”, it is emphasized.

As part of the preliminary observations delivered to the Government A roadmap for dialogue was proposed with a schedule of dates for article-by-article review between both parts of the law, but it was rejected, without knowing the reasons.

They ask to be exhaustive in reading the new law

TEGUCIGALPA

Hector Ferreirapresident of the National Federation of Farmers and Ranchers of Honduras (Fenagh), urged the deputies of the National Congress especially those who are producers to be exhaustive in reading and interpreting the Tax Justice Law.

“I want to take the opportunity to make an extremely important call to the deputies of the National Congressespecially those who are producers who come from the countryside and know the situation well how they live so that they are exhaustive in the matter of interpretation and reading of this new law so that it will not be approved and will affect the country’s producing sector”.

He added that “in a presentation made by one of the members of the Federation’s board of directors, he said that only by applying that law (of Tax Justice) shrimp and melon production could disappear in 12 months; Therefore, I believe that the issue of being able to give interpretation to the law and not affect the country should be extremely exhaustive, delicate and detailed.

He is also the owner of the Honduran Chamber of Milk (Cahle) argued that other countries in the region are granting tax incentives to increase investment and, on the contrary, in Honduras seeks to scare them away.


Cohep warns of a crisis if the bill is approved

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