12122017Headline:
5 Green Reasons Costa Rica Is the Poster Child of the Environment 4 years ago
Have You Tried Guanacaste’s Fastest Growing Sport? 4 years ago
Was Your Costa Rican Bank Account Closed? 4 years ago
Latin America Investment News on Viva Tropical

Honduras Wants to Pass New Exemptions for Tourism Sector

Article Summary:

The government of Honduras is preparing a legal reform to the Tourism Act, a bill called “An Act to Update the Honduran Institute of Tourism, the Tourism Development and Update of Legal Rules in the Field of Tourism.” This draft bill proposes restoring and expanding tax breaks, especially for new ventures in the sector.

Photo Credit: El Heraldo

Original Article Text From El Heraldo via Google Translate :

Honduras Wants to Pass New Exemptions for Tourism Sector

The fiscal policy of the government of Porfirio Lobo Sosa is a contradiction. On the one hand you want to remove exemptions for imports of fuels for electricity generation, which in 10% more expensive rates, and the other intends to adopt more tax benefits to encourage the tourism industry.

El Heraldo had access to the draft Law for the Update of the Honduran Institute of Tourism, the Tourism Development and Update Legal Standards in the Field of Tourism. “Through this initiative restores legal, recognize and extend tax breaks and go back in order of approval of tariff exemptions, benefits and tax exemptions,” said a former Director of Revenue, who asked not be named.

former Secretary of Finance added that “on one hand we talk about reducing tax exemptions and incentives for a more just society and broaden the tax base, and on the other hand promote laws that increase the benefits.”

More exemptions
The Law for the Update of the Honduran Institute of Tourism, the Tourism Development and Update of Legal Rules in the Field of Tourism has a number of benefits that will have a negative impact on tax revenues.

In the chapter on tourism development and reform approving a series of articles to create and expand existing tax benefits. An example of this is Article 5 of the Tourism Incentives Act, approved by Decree 314-98 of 18 December 1998 and to read as in item 1) “Exemption from payment of income tax for 15 years extendable from the start of operations.This incentive should be granted only to new projects understood as being those tourism establishments that begin operations for the first time and do not involve expansion, remodeling, change in ownership, change of name, business name or corporate name or any other similar situation.

“For its part, paragraph 2) read as follows: “Exemption for once, to complete his equipment, payment of taxes and other taxes that cause the acquisition of property and new equipment for the construction and start of operations projects under the activities listed in Article 8 of this law.

“Seeks to extend from 7 to 15 years the payment of income tax for those tourism projects that have obtained favorable resolutions in accordance with Article 32 of the Law on Income and Efficiency in Public Expenditure, contained in Decree 113-2011 and may call at the Ministry of Tourism, within one year from the effective date of this Act, an amendment to the resolution obtained to extend the period of exemption.

Article 7 seeks to amend the Law on Income and Efficiency in Public Expenditure (Decree 113-2011 of 24 June 2011), with respect to amend the first paragraph of Article 28, which from now on read as follows:”Article 28. – The defenses, exemptions or incentives related to the tourism sector, established or to be established under national law shall be granted by the Secretary of State for Tourism in accordance with current legislation. Other exemptions, tax exemptions and facilities granted by present or future laws shall be granted by the Secretary of State Office of Finance, after consulting physician of the ministries and other competent bodies, but these reports or opinions be characterized as binding.

“In addition, developers of sustainable tourism projects enjoy exemption of income tax for 15 years extendable from the start of operations. Tlso be exempt from taxes and other taxes on the import replacement for impairment of property and equipment over a period of 10 years, after verification.

According to Article 37: “Do not be granted the benefits of the Tourism Incentives Act to providers of tourist services that have obtained tax exemptions granted by other special procedures, laws promoting or suspensive, those established in Article Act 33 of the Revenue and Efficiency in Public Expenditure, contained in Legislative Decree 113-2011, published in the Official Gazette number 32.562 dated July 8, 2011. ”

Link to Original Article:

From El Heraldo

Latin America Investment News on Viva Tropical