Instead of charging a tax of 0,002 percent on electronic transactions higher than ¢100.000, the Finance Ministry would consider a tax on cash withdraws larger than ¢500.000.
Fernando Rodríguez, vice-minister of Income, said the measure would be similar to to what other countries have applied.
“Taxing cash withdraws increases the use of electronic transactions and card payments. The finance ministry opposes a tax on electronic transactions because it would conflict with another proposed bill to counter fiscal fraud, which currently is being discussed by the Legislative Assembly. This initiative proposes a discount of 1 percent for debit card purchases, but no discount for credit card purchases. The goal would be to give customers an incentive to avoid acquiring debt.
According to Finance, there is support for fostering regional development. However, they ask that the legislature consider ways to fund it that wouldn’t encourage tax evasion.
The proposed bill on regional development intents to reduce the development gaps in underdeveloped regions of the country.
Source: Diario Extra.