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El Ciudadano

Original article: Proponen incorporar un royalty portuario en el proyecto de megarreforma tributaria del Gobierno

The Regional Governor of Valparaíso, Rodrigo Mundaca, expressed his support for the measure pushed by Congressman Luis Cuello (PC) to include a Port Royalty in the «major tax reform» project presented by the government of José A. Kast.

In this regard, the legislator explained that the proposal aims to promote territorial justice and offset the impact faced by port cities.

«We have presented our Port Royalty proposal to the governor, now as an amendment within the government’s tax reform, which unfortunately tends to take resources away from regions and municipalities,» stated the Congressman.

He further highlighted that regions like Valparaíso need greater financing tools to address the neglect and investment deficits affecting various municipalities.

«We have cities that are neglected and require more public investment. That’s why we hope this amendment can progress in the Commission and open a discussion on how regions can also share in the wealth generated by their ports,» Cuello added.

For his part, Governor Mundaca appreciated the proposal and affirmed that the Port Royalty presents a concrete tool to strengthen the country’s fiscal decentralization.

«We fully support this amendment presented by Congressman Luis Cuello, as fiscal decentralization is crucial not just for regional governments but for Chile as a whole,» asserted the regional authority of Valparaíso.

Criticism of the Reform’s Approach

Additionally, Governor Mundaca criticized the government’s tax reform approach, stating that «when the state captures less revenue, it ultimately impacts social programs and the living conditions of the population.»

In this context, he emphasized, «Establishing a tax, a port royalty in a situation where our region hosts the country’s main ports, including the largest land port in Latin America, the Los Andes land port, seems like a good initiative, a good project, a good amendment.»

What Does the Amendment Propose?

The proposal by Congressman Cuello includes new articles to the national reconstruction law project to establish a Port Royalty of one dollar per ton transferred at the country’s maritime terminals, a cost that shipping companies will have to pay. In the case of land ports, the compensation will fall on importers and exporters.

Furthermore, the proposal stipulates that 50% of the collected resources will be allocated directly to port municipalities while the other 50% will go to the respective regional governments. These funds must be invested in educational infrastructure, health, heritage, transportation, and regional and municipal development projects.

The Citizen

La entrada Proposal to Include Port Royalty in Government’s Major Tax Reform Project se publicó primero en El Ciudadano.