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Comparing Presidential Tax Proposals
On July 18th, the winners of the presidential primary elections of Chile Vamos and Apruebo Dignidad were elected, Sebastián Sichel and Gabriel Boric, obtaining the first majorities respectively. On other hand, on August 21st the candidate for Unidad Constituyente (Yasna Provoste, Carlos Maldonado, or Paula Narváez), who will compete in the November 21st presidential elections will be known.
This report seeks to systematize the proposals in tax matters of the current candidates of Chile Vamos, Apruebo Dignidad, and Unidad Constituyente, contained in their programs or published in various media during the last weeks to shed light on possible changes and reforms that the Chilean tax system will undergo.
These proposals are summarized below:
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Some candidates (Sebastián Sichel), or their representatives, have expressed that their tax programs will be maintained, without suggesting modifications while others have indicated that they are in the process of feedback, review, and improvement (Gabriel Boric) or construction (Yasna Provoste).
Notwithstanding the lack of some programmatic and political definitions, some proposals are widely shared, and therefore, it is likely that they will be implemented in the next government. This is the case of the elimination or modification of the exemption regime. In other matters, such as the disintegration of the tax system, there is no such coincidence, so its implementation or not will depend on the result of the presidential elections.
With only 15 weeks to go before the presidential elections, those proposals in which there is a greater coincidence will likely be those that define the country’s tax future.
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