Senator Daniel Núñez (PC) has labeled the government's upcoming economic initiative a "disguised tax counter-reform" after reviewing the details of the proposed bill.
The lawmaker criticized the package of measures, arguing that it seeks to reduce the tax burden on large corporations through an omnibus law structure. According to Núñez, the Finance Ministry's approach is designed to benefit high-income sectors.
“The goal here is to cut taxes for Chile's wealthiest and grant them a massive tax amnesty,” the legislator stated in an interview with Al Pan Pan.
Risk to social spending
The senator questioned the validity of the premise that lower tax pressure will automatically stimulate economic growth. He rejected the idea that tax revenue would be recovered through market dynamism.
“We do not subscribe to this assumption. It is the 'trickle-down' theory; we spent years waiting for wealth to trickle down, and it never reached anyone,” Núñez noted.
The lack of a formal and transparent tax reform was also a point of criticism. The senator demanded that the Executive branch use the same debate mechanisms employed by previous administrations, such as those of Bachelet, Piñera, or Boric.
According to the lawmaker, approving these measures in their current form will lead to a sustained drop in national tax revenue. “There will be a permanent defunding of the Chilean State. And that will result in cuts to social benefits,” he warned.
The Executive branch has defended the proposal, arguing that the measure aims to boost the national economy. The bill is expected to be presented in the coming days, marking the start of a fierce legislative battle between the opposition and the José Antonio Kast administration.
