In Nicaragua exemptions and tax credits for tourism activities can be exploited only by large investors.
Writing in Prensa.com.ni, businessman Rafael Córdova examines the actual results of the implementation of Act 306 of 1999 which declares tourism as an industry and characterizes it as an activity in the national interest.
Cordova notes that "Since the entry into force of the law, the process of receiving it benefits has worked very well for large tourism investments that meet a number of requirements such as company profiles, market research, investment plans, financial projections for a period of 10 years, land appraisals, architectural plans, ceilings, architectural elevations, etc.. "
The amount of minimum investment required in the Tourism bill in order to be able to access tax incentives in Panama will be reduced to $250 thousand.
The Tourism Authority of Panama (ATP) has agreed to reduce from one million dollars to $250,000 the minimum amount of investment required to obtain tax incentives when building a hotel outside the district of Panama.
Small and medium entrepreneurs in tourism and hotels are demand that a new bill include measures favorable to its segment and is not only conducive to large investors.
Representatives of the aforementioned industry complained that a new draft law which will be discussed by the National Assembly is exclusive and does not give economic benefits, reported Panamaamerica.com.pa.
The draft amendments to the Law which could be approved before the end of the year, would generate increased investment in the sector.
The proposal provides a reduction to $ 10 thousand minimum investment in order to receive tax benefits and a reduction of between 25 to 30% in electricity rates and drinking water.
With the current law, the minimum investment required per project, including land, for "mayor lodges" in the urban area of the capital of $ 500 thousand and for the rest of the country is $ 150,000. For the "minor lodges” the minimum is $ 100 thousand in urban areas and $ 50 thousand in the rest of the country.