Farmers Demand Reduction in Their Taxes and Win

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    After weeks of pressure from the agricultural sector; the Costa Rica Congress unanimously passed a bill that would lower Costa Rica property taxes for the industry, official sources confirmed.

    Farmers, two weeks ago staged a massive march in San Jose, had announced a new series of protests against the way in which municipalities were calculating the tax on land, which made no distinction between farms and commercial or tourist lands.

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    However, the demonstrations were suspended as the 49 deputies present in the Legislative Assembly approved on first reading a new tax law for this sector, which revokes previously implemented tax laws since 2008; this was confirmed National Farmers Chamber (CNA).

    The government, which supported the request of farmers, had proposed an 80% cut in rates, but the deputies agreed that the amount payable will be based on the historical value of the farms.

    In addition, the new law requires the government to conduct a census of Costa Rica agriculture in a maximum period of four years, since the last such survey was conducted in 1984.

    With this information they will draw a new table to calculate the value of agricultural properties.

    The Minister of Agriculture and Livestock, Gloria Abraham, today described as positive law and added that it recognizes the need for a differentiated charging the agricultural sector.

    The CNA president, Álvaro Sáenz, Congress welcomed the decision and said the text benefits both producers and local governments, which in the future may be taxed in a fair manner.

    For the law to be firm to be consulted before the Constitutional Court and then approved in second debate in Congress.


    The Costa Rica News (TCRN)
    San Jose Costa Rica

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