VAT will not be levied on family basket products

The President issued orders for the non-inclusion of basic foodstuffs such as meat, chicken, eggs and milk. He emphasized his responsibility to move forward with the reform.

In an interview with El Tiempo, President Iván Duque stated that the tax reform will not impose VAT on products of the family basket. He also said that he gave orders for the non-inclusion of basic foodstuffs such as meat, chicken, eggs and milk.

For him, it is not necessary to focus on discussing a tax reform, because what is required is a social, solidarity and sustainable reform. He reminded that this is necessary to cover the expenses and the debt generated to attend the pandemic, which included the health sector and the generation and consolidation of social programs.

He recalled that through Solidarity Income, last year around 4.3 trillion pesos were delivered in monthly transfers of $160,000 to at least three million households in conditions of vulnerability and extreme poverty.

Through Paef, up to this month, around 5 trillion pesos have been disbursed to some 130,000 companies (between legal entities and individuals), most of them small. These subsidies have made it possible to protect about 3.9 million jobs.

Duque reminded that his government does not obtain any benefit with the new resources collected through this reform, since his term of office will end in August 2022.

He emphasized that he is responsible for bringing the reform forward so that the next government does not suffer what happened to him, who had to present one from the outset.

Source: Actualícese