A document with proposals from the ruling party was delivered to the Minister Secretary General of the Presidency Juan José Ossa and the Minister of Finance Rodrigo Cerda.
The government received on Monday afternoon the proposal from Chile Vamos regarding the minimum commons that the projects that will enter Congress in talks with the opposition should consider to face the pandemic and help families and SMEs.
The document delivered by the ruling party to the Minister Secretary General of the Presidency Juan José Ossa and the Minister of Finance Rodrigo Cerda establishes an Emergency Family Income (IFE) around the poverty line and aimed at 100% of the Social Registry of Households ( RSH)
Measurements also include:
SME voucher: A relief voucher is proposed for SMEs. This means a direct transfer of $ 1 million for each company with direct sales that has billed at least one month in 2020 with sales less than UF 25 thousand. Additionally, this amount will be complemented with a subsidy equivalent to three months of the average monthly VAT payment prior to October 2019. The benefit would reach about 420 thousand companies. It is estimated that these measures would have a fiscal cost of approximately US $ 1,120 million.
LPE contribution subsidy. Possibility of subsidizing the contributions of those workers who are currently with suspended contracts through the Employment Protection Law. This measure would benefit about 150 thousand workers who are currently in such condition and would have an estimated monthly fiscal cost of US $ 19.5 million, that is, for three months this measure would mean US $ 58.5 million.
Pandemic Solidarity Income: It is proposed to expand the IFE from 80% to 100% of the Social Registry of Households (RSH). Now, in order for more households to be effectively benefited, registration in the RSH must be encouraged so that the State has information and the capacity to deliver resources efficiently and in a timely manner.
Financing: In order to finance the measures and deliver greater economic certainty to the population, it is postulated that the greatest resources for the treasury must come from a combination of income and public debt, an end to privileges and unjustified tax exemptions, and a more efficient management of spending public by the State. In terms of tax exemptions and privileges, there is consensus on advancing their regulation to increase the country’s income.
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