Presidency Minister José García Ruminot stated that the corporate tax cut from 27% to 23% is 'irrenunciable' and the heart of the Reconstruction National bill, the key project of José Antonio Kast's government with over 40 measures. His comments sparked divided reactions: opposition demands splitting the tax reform from post-fire reconstruction measures, while officialism backs it to boost the economy. The bill will enter Congress next week.
Presidency Minister José García Ruminot defended the corporate tax cut as essential to revitalize Chile's economy during a Cuasimodo event. "The corporate tax cut is irrenunciable and the reform is key to the success of President Kast and his government," he told La Tercera. The bill, called Miscellaneous Law or National Reconstruction, includes over 40 measures such as reducing bureaucracy, formal employment subsidies, 0% VAT on housing, and aid for fire disasters in Biobío and Ñuble.
Opposition sharply criticized including the tax cut. Frente Amplio deputy Gael Yeomans accused: "It pretends to use the pain of families who lost their homes in the fire to ease the pockets of big companies." Similarly, PC leader Lautaro Carmona called it "a setback in wealth redistribution." Deputies like Raúl Soto (PPD-IND) and senators like Daniella Cicardini (PS) and Iván Flores (DC) insisted on splitting the project to prevent the tax reform from 'contaminating' the reconstruction package, which has transversal support.
From officialism, Senate President Paulina Núñez (RN) backed it: "It is key to the government's success." Republican deputy Agustín Romero emphasized: "Chile is not competitive today." UDI deputy Constanza Hube urged economic dynamism to create jobs. The government is considering adjustments to the tax cut's gradual rollout and insists on submitting it as one package to Congress, possibly on April 15, after meetings with the coalition and moderate opposition.
