The Dominican Republic’s government has unveiled a comprehensive fiscal reform plan aimed at modernizing the country’s tax system. Minister of Finance Jochi Vicente presented the proposal, which focuses on increasing revenue, combating tax evasion, and addressing social inequalities.
The reform includes raising taxes on alcoholic and sugary beverages to discourage excessive consumption and boost state revenue. Additionally, a new tax on sugary drinks based on their added sugar content is introduced. To mitigate the impact on vulnerable populations, compensatory measures are proposed.
Social and economic reforms include increasing social assistance programs and raising the minimum wage in both the private and public sectors. Infrastructure development projects like the Santo Domingo metropolitan train and Santiago monorail are also planned to improve mobility.
Government security initiatives involve hiring more security agents, constructing new police stations, and renovating existing ones to enhance security in various areas. Changes to existing incentive laws for economic sectors and combatting tax evasion are also key components of the reform.
Overall, these changes aim to create a fairer playing field for businesses and promote transparency in the tax system.