Tax Reform

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Chilean finance committee members approving corporate tax cut legislation in a formal early-morning session.
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Government approves corporate tax cut in finance committee

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The Chamber of Deputies' Finance Committee approved the core tax measures of the megareform promoted by President José Antonio Kast's government in the early hours of Thursday.

The Partido de la Gente announced on Wednesday that its agreement with the government to back the megareform bill has collapsed, accusing the administration of failing to include middle-class benefits such as VAT refunds on medicines and diapers. The decision marks a sharp turn after weeks of talks and internal divisions within the party.

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Tokyo companies are increasingly introducing affordable employee cafeterias amid soaring dining-out costs. New fiscal-year tax reforms have raised the tax-exempt limit for meal subsidies for the first time in 42 years, providing a tailwind. At Tokyo Star Bank, staff enjoy lunches for around ¥500.

The Chamber of Deputies concluded on Tuesday (16/12) the vote on highlights of PLP 108/24, reducing the tax rate for Football Anonymous Societies (SAFs) to 5% and removing the 2% cap on the Selective Tax for sugary drinks. The text, regulating the 2023 tax reform, goes to presidential sanction. The measure has been a government priority since last year and takes effect in 2026.

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Andreas Gassen, head of the Kassenärztlicher Bundesverband, advocates for closing more hospitals and expanding ambulatory care in Germany. He criticizes health insurers' cost-cutting plans and demands higher taxes on tobacco and alcohol, plus a sugar tax. The revenues should be earmarked for the health system.

Lawmakers on the tax reform meet today in Congress to advance the ponencia aiming to finance $16.3 trillion of the 2026 National Budget. The elimination of the fuel tax would be consolidated, while levies on alcohol, tobacco, and other sectors are adjusted. Coordinator Olga Lucía Velásquez warns of an unpropitious political environment for debate.

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President Javier Milei labeled economist Emmanuel Álvarez Agis a 'thief' for proposing a 10% tax on cash withdrawals to combat tax evasion. Álvarez Agis, a former deputy minister under Cristina Kirchner's government, argued the measure would encourage electronic payments and business formalization. Milei likened the idea to legalized robbery on his X account.

 

 

 

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