The Chilean government has launched a strategy to engage with opposition sectors to secure the passage of a corporate tax reduction, according to a report by latercera.com.
The Executive branch is seeking support—even if only from isolated lawmakers—within the PPD, DC, Liberal, and PDG parliamentary groups. The central goal is to protect a proposal that would lower the corporate tax rate from 27% to 23%.
The initiative, titled "Reconstruction," includes approximately 40 measures ranging from tax adjustments to changes in educational benefits and disaster management. However, the wide range of topics has led to pressure in the Chamber of Deputies to refer the project to multiple committees.
Resistance from center and left-wing blocs
The legislative landscape is complex. While the right-wing opposition holds 76 votes, the opposition forces total 79 deputies. The left-wing bloc, comprising the PS, PC, and Frente Amplio, maintains a stance of total rejection toward the tax measure.
José García (RN), the Minister Secretary General of the Presidency, has been leading the dialogue efforts. During a lunch with PPD-Independent deputies, García reaffirmed the official position: “The corporate tax cut is non-negotiable,” the minister stated, according to the La Tercera report.
Raúl Soto, leader of the PPD bloc, warned that the tax reduction is a "red line" for his sector. “It is a mistake for the government to insist on sending a package with more than 40 very different measures. It is going to put the entire package at risk,” Soto noted.
Meanwhile, the DC bloc is showing even more adamant resistance. Deputy Priscilla Castillo described the measure as a negative signal in the face of the current economic crisis. “This is like Robin Hood in reverse. Those who have the most to contribute are the ones who earn the most,” the lawmaker affirmed.
In the case of the People's Party (PDG), the government has sought to establish contact with its leader, Franco Parisi, through intermediaries from the Ministry of Finance. However, Parisi noted that, so far, he has not held any formal talks with the Executive regarding the project's contents.