Panama: "Flat-Tax" Won't Be Over 30%Monday, November 16, 2009 The tax reform bill includes the creation of a 'flat-tax' scheme, which would come into effect in 2010. This tax will replace the Alternate Income Tax Calculation, lowering the tax burden for individuals and businessmen, argued Dulcidio De La Guardia, finance vice minister. Tax Reform Proposal in PanamaMonday, February 23, 2009 Lawyers, economists and tax specialists discuss this proposal, focused on the adoption of a "flat tax" to replace the current tax system. The proposal was initiated by Ricardo Martinelli, the presidential candidate that leads public opinion surveys regarding voting preferences, and, according to what was reported by Marianela Palacios in an article in Prensa.com, “[this proposal] implies a reduced ISR rate for the businesses of a current 30% rate to 10% or 15%, limits deductions and eliminates a series of subsidies and fiscal exonerations, even those banking-related." |
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