Saturday, 19 March 2022 02:34

Ministry of Finance evaluates extending the deadline for FEFE and CONTRANS taxes

Written by Evelyn Alas

The Minister of Finance, Alejandro Zelaya, said in a press conference that the institution will monitor to evaluate a possible extension of the three-month suspension of the measures announced by the Central Government.

Among these measures are the Tax on Contribución al Transporte (CONTRANS), and the Fondo de Estabilización para el Fomento Económico (FEFE) tax.

He said that the panorama of an international problem directly affects the country and it is necessary to be clear that by taking timely decisions to face this situation, measures must be implemented to help prolong this period.

The Treasury minister said that the financing for these measures has been estimated at between US$80 and US$75 million, and if they are extended to more than three months, there could be US$11.5 million more from the FEFE and US$13 million from CONTRANS.

In addition, these measures will make possible the exoneration of taxes on fertilizers for a period of one year, the reduction of the cost of imports of essential products for the consumption of salvadorans and inputs for products of the basic food basket.

Another of the alternatives announced by President Nayib Bukele is a law of sanctions for abuses in the trade of products derived from hydrocarbons. To supervise the application of the measures, the government will deploy inspectors throughout the country.