translated from Spanish: New homes without VAT, why not?

Under the current legislation, with exceptions, any new property that is not purchased with a Minvu subsidy is subject to the payment of VAT, i.e. all units with prices above 2,200 UF deb will pay this tax. The problem is that there is evidence that a family of 4 with residence and work in the Metropolitan Region needs at least a 2-bedroom property – about 60 m2 – to live worthily. Such a property, in a sector with acceptable connectivity, will hardly have a price less than 2,900 UF.
Given the above, it follows that with the current VAT we are making the backpack heavier for middle-class people who buy without subsidies and, above all, we are passing up the opportunity to raise more of those who have more.
In this new social context I believe that it is essential to create progressive taxes with the aim of achieving a transfer of resources between different market segments.
In particular, I propose to replace VAT on new properties with a “tax with tranches”, similar to the structure of the supplementary comprehensive. Thus, for example, properties up to 3200 UF could be exempt from this tax; those between the 3201 UF and 7000 UF could pay the current 19%, and those with prices between 7001 and 14,000 UF a rate of the order of 27%. All units with values above 14,000 UF could be taxed at a proposed rate of 35%.
I think such a move can help level the court and make chile fairer.

The content poured into this opinion column is the sole responsibility of its author, and does not necessarily reflect the editorial line or position of El Mostrador.

Original source in Spanish

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