Venezuelan government seeks additional revenue through tax reform

The Venezuelan government has reformed five tax laws to increase income and bridge the gap in public accounts. On Tuesday, President Nicolás Maduro, through the enabling law, made changes to the income tax law, the law on value added tax (VAT), the tax law on alcoholic beverages, the tax law on cigarettes and the organic tax code (COT). Following such move, Economy Vice-President and Finance Minister Rodolfo Marco Torres said the reform of the legal framework would "optimize tax collection and provide additional income." Such adjustments, he remarked, "will benefit all sectors. They will not affect the larger tax base. They are progressive tax reforms. Therefore, those who earn more will pay more." Meanwhile, Minister of Industry and Tax Superintendent José David Cabello noted that the changes are intended to rearrange taxation, and explained some of the reforms made. More…