RICO’S COSTA RICA BLOG – Up to now, almost two months into his presidency, Luis Guillermo Solís has surprised many. But, I think the Prez is quickly learning that things are a “little bit” different from the inside.
For instance, the Aresep – the people who keep telling us that we need to pay more for gasoline, electricity, tolls, water and any other vital service – proposed to the President that the government eliminate the tax on gasoline.
That would be mean about a drop of ¢200 colones at the pump.
Of course, I did not expect Mr. Solís to just say OK, get rid of the tax. But, I did expect him to look into it a little bit more, give us the sense that maybe it is something that should be considered.
Anyone with any sense of mind and politics knows that it could never be done, the tax on gasoline, like on cigarettes, alcohol and all the other “sin” taxes are vital to any country’s economy.
But it was disappointing to hide behind his Finance Minister. And nothing on the other Aresep proposal, to eliminate the income tax paid by Recope, a state company. Not a word on that subject.
Why are state companies required to pay income tax? doesn’t the profit from these companies go to the government anyways? Is that why our electricity bills are so high? The income tax paid by ICE on their profits?
Things are different on this side of the election. Can’t wait for his 100 days (3 month) presidential report to the nation.