This 20% tax on returns from each operation has become a competitive disadvantage for the country, as investors prefer tax free markets where they are fewer barriers to investment.

José Miguel Valencia, director of Hencorp securitization, said in the article on Estrategiaynegocios.net "... When one of the investors, especially those who are responsible for managing the funds of someone else, can invest $1,000 in Panama and receive $100 or invest in $1,000 El Salvador and be paid $80, genuinely what has happened is flight on the part of investors. "

"... The report on the economic and fiscal situation for the close of 2014, released by the Foundation for Development, states that El Salvador is still one of the countries with the least amount of foreign investment in the region. In 2014 the country received $71.3 million in that area, which is an amount that reflects a decrease from money seen in 2013, when the figure was $110.3 million. "

Source: Estrategiaynegocios.net

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The proposal to increase the tax on interest on financial investments in Costa Rica could eventually make credit more expensive for both the private sector and the government.

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A reduction from 20% to 3% has been made on withholding tax on income from investments in securities traded on the local stock market.

From a statement issued by the Financial Supervisory Authority:

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December 2014

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Stock Market Opposes Tax Reform

June 2014

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