Ecuador's Flower Exporters Will Be Exempt From Income Tax Payment In 2015
April 3, 2015 | 1 min to read
Quito – President Rafael Correa signed an exclusion of 100% of tax payment for the fiscal period 2015, for flower and tuna exporters. The decision was made official through Executive Decrees 645 and 646 published this afternoon.
According to the decree, the measure comes under Art. 41 of the Organic Law of Internal Tax Regime, which states that ” when sectors or subsectors of the economy have suffered a drastic drop in their income, the President of the Republic, may reduce or waive the advance fixed value to the sector or subsector by decree, all this with the appropriate report of the Director General of the Internal Revenue Service”.
The flower industry is facing a critical situation due to a decrease of exports, the devaluation of the ruble and the euro, economic sanctions imposed by the European Union to Russia, and loss of competitiveness against countries like Kenya and Colombia, which has caused the Ecuadorian flowers to be replaced by others.
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