The Bolivian government is preparing a draft law that seeks to modify the current Tax Code; it proposes reducing the extinction of tax controls from eight to four years, eliminating fines and reducing interest, among other benefits so that taxpayers can normalise their situation. The bill could raise Bs 2 billion ($287.3 mn). Currently, there is a non-payment of Bs 41,4 billion ($5.9 bn) in the Tax Service, and around Bs 3 billion ($431 mn) from Customs. The period of validity of this regulation will be three months.
From China comes 22% of Bolivian imports composed of automobiles, and inputs for agro-industry and construction. If these goods do not arrive, strategic sectors are likely to be delayed. The coronavirus will also affect tax revenues from imports, 30% of taxes come from the entry of Chinese goods into the country. The government is studying measures to mitigate the impact.
In recent weeks, three public companies have preliminarily reported more than Bs 2.7 billion ($387.9 mn) in economic losses to the State. The National Telecommunications Company (Entel), the technology company Quipus and the Bolivian airline BoA.
The data refers that the volume of imports fell by 9.2%, equivalent to 8.7 million tons, while the value fell by 8.6%, equal to $ 15.7 million. The main products are insecticides, herbicides, germination inhibitors, vehicles, tires, alternating current generators and cell phones.
The Latin American Development Bank (CAF) announced Tuesday the approval of a $300 million credit to address the effects of the coronavirus in the region. The World Bank also announced today a $12 billion contingency fund to enable countries to take effective action to address COVID-19, with priority given to the most impoverished nations.