Panama Business Protest Against
Government's Tax Plan
Panama -
Entrepreneurs from the Colon free zone at
the mouth of the Panamanian Canal on
Wednesday staged a protest against a newly
approved tax plan.
The tax plan, boosted by the National
Assembly, was aimed to collect more than 100
million U.S. dollars per year.
Panamanian Presidency Minister Jimmy
Papadimitriu said the government of
President Ricardo Martinelli is open to
dialogue, but the tax plan will continue.
"That money is needed for a dignified
transportation, security and to reduce the
basic basket (price)," Papadimitriu said.
Giovanni Ferrari, president of the free
zone's Users Association, said these
measures put on risk to the competitiveness
of companies in the zone.
Founded in 1947 with 50 hectares of land of
the city of Colon, at the entrance of the
Atlantic Ocean, the free zone now is a major
world export center of 500 hectares with
over 14,000 employees in 2,600 companies.
Ferrari said the protest was aimed at making
the government rethink the impact this tax
adjustment will bring to the free zone, for
example, the employment reduction.
Companies in the free-trade zone do not pay
corporate income tax. Thanks to its tax free
system, the zone reported profits for
re-exportation of over 1.5 billion U.S.
dollars last year, of which only 62 million
U.S. dollars, or 4 percent came to the
State.
|
