Construction chamber expresses its opposition to the tax package

The Cámara Costarricense de la Construcción is expressing its concern over a tax package that the central government is presenting to the legislature.

Based on an initial outline, the chamber said that the average family would pay about 12 percent more for a new home because of the proposed taxes.

The government is presenting a value-added tax and a bill to increase the higher rates for income taxes.

The chamber said raising the sales tax from 13 to 15 percent would seriously affect the construction industry. It also pointed out that the government plans to double the transfer tax on real estate from 1.5 percent to 3 percent.

Guillermo Carazo, president of the chamber, based his estimate on a new home valued now at 20 million colons. He said taxes would add 2,400,000 colons to the price.

The chamber said it has been expressing its views to Helio Fallas, minister of Hacienda and other officials there since the middle of April both in meetings and in written messages.

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