Our partner Maria Soledad Diharasarri Lecanda in conversation with Diario Financiero commented on aspects of the fiscal pact presented this week by the Government. The pact has several pillars, among them the strengthening of tax compliance and the increase in the income tax rate.

According to Soledad, to reduce tax evasion and avoidance, the Chilean IRS (SII)’s technology needs to be modernized and resources need to be provided to the tax and customs courts to reduce processing times. She criticizes the way in which the anonymous whistleblower figure is to be implemented because, she says, “it generates perverse incentives for the whistleblower, as well as saturating the system with often unsubstantiated denouncements”.

See more