Interior Minister Claudio Alvarado confirmed the government withdrew an indication on corporate tax reduction to 22% because it was not part of the agreement with the PPD. The move aims to rebuild trust ahead of Wednesday's Senate vote.
Interior Minister Claudio Alvarado explained that there were talks with the PPD to support certain indications in the tax megareform. Confusion arose over an indication on tax cuts that was not part of the pact, so the executive decided to withdraw it.
“The explanation is very simple: there were conversations with the PPD to support certain indications. Confusion arises regarding the understanding, in terms of one of the indications that mentioned the tax reduction”, Alvarado said after attending the wake of former minister Enrique Krauss.
PPD president Raúl Soto backed senators Ricardo Celis, Pedro Araya and Loreto Carvajal, accusing the government of betraying trust. The party reaffirmed its rejection of the reform and announced it will go to the Constitutional Tribunal with the opposition.
Alvarado said he hopes to recover trust through dialogue and that the megareform will be approved next Wednesday in the Senate to become law.
