That on October 9, 2020, a piece of correspondence signed by the Minister of Finance was presented to the Honorable Legislative Assembly, containing a law initiative granted by the President of the Republic to introduce reforms to the Law on Special Contribution to Large-Scale Taxpayers for the Citizen Security Plan (LCEGC); among which, the following stand out:
If the amendments to the LCEGC are approved, they will be changed in the name of the Law and will be called “Law of Special Contribution to Large Taxpayers for Citizen Security“, as established in Article 1 of the Bill; and the proceeds will be used to finance and execute all those actions and measures that guarantee citizen security, as established in Article 2 of the Project..
On the other hand, Article 3 of the reforms establishes an amendment to the current Article 4 of the LCEGC in the sense that net profits equal to or greater than FIVE HUNDRED THOUSAND DOLLARS (USD $500,000.00) will be maintained as the generating fact; however, this will be calculated by applying a rate of EIGHT PERCENT (8%) on the total amount of the same, obtained by any natural or legal person, joint venture, irregular company, in fact, domiciled or not
Likewise, the validity of the LCEGC that began on November 29, 2015 and would originally end on November 29, 2020, with the approval and entry into force of the reforms, would be extended until December 31, 2025.
Notwithstanding the foregoing, said Bill must be studied, voted on and approved by the majority of the Legislative Plenary; likewise, it must be sanctioned by the President of the Republic and ordered to be published in the Official Gazette, as part of the law formation process, for its subsequent entry into force.