One week after initial PDG meetings on President José Antonio Kast's megarreforma, his government clarified that the new deal with the Partido de la Gente (PDG) to approve the Reconstrucción Nacional megaproyecto excludes the promised 12.5% SME tax rate—for a future bill—sparking brief backlash before resolution. Tensions persist with the Partido Nacional Libertario.
Following PDG's internal debates and early talks with ministers (as reported in prior coverage), the government announced a deal with the PDG bench to advance the megarreforma. Interior Minister Claudio Alvarado clarified on T13 that the pact centers on IVA refunds for diapers and medicines for seniors via electronic wallet, not the 12.5% SME tax rate.
"The agreement with the Partido de la Gente is in another line from the 12.5% for pymes," Alvarado said, echoing Kast's campaign pledge to maintain the rate (current law expires 2027). This drew ire from PDG: bench leader Juan Marcelo Valenzuela decried disrespecting agreements, MP Pamela Jiles threatened opposition, and Franco Parisi warned votes weren't secured.
Finance Minister Jorge Quiroz confirmed the tax cut would come in a separate bill with added SME benefits like employment credits (reducing taxes to 7% or 0%). President Kast met entrepreneurs at La Moneda. Alvarado reiterated: "The rate is and will remain at 12.5%, just the timing will be later." Parisi accepted, declaring the issue "overcome."
Meanwhile, PNL libertarians, excluded from pyme discussions, abstained from the itinerary vote, sending the bill to commissions. Alvarado invited Johannes Kaiser to talks, and Quiroz pledged his inclusion in a technical table.
