The Minister of Finance, José Antonio Ocampo, met with the director of the Western Hemisphere of the IMF, IIan Godfajn, and with the Nobel laureate in Economics, Joseph Stiglitz, within the framework of the annual meetings of the International Monetary Fund (IMF).
“I think Colombia and Chile are moving in the right direction,” Stiglitz said, a statement that the Colombian finance ministry interpreted as an endorsement of tax reform.
In addition, he assured that not only in Chile and Colombia, but also in the United States, those who have the most resources do not pay taxes in a fair and due manner, which destroys social cohesion and opens the way to demagoguery.
“For many countries, the best way to obtain new resources is through wealth taxation by ensuring that multinationals pay their fair share and by taxing windfall profits. These measures do not affect investment if they are designed properly,” he added. the Nobel Prize in Economics.
Likewise, the Colombian finance minister defended his proposal to introduce a surcharge on windfall profits in the oil and coal sectors.
“Let me emphasize three elements of the reform: it eliminates tax benefits for individuals, but also for sectors with broad exemptions; it also proposes a wealth tax. There will also be windfall taxes on the oil and coal sector. For example, when we had the coffee boom, this sector contributed a lot to social development and that is what we want with this measure and finally, the fight against tax evasion, which will contribute a lot to this reform,” said Ocampo.
For his part, the US economist indicated that “taxes on profits, in general, if they are well designed, do not discourage investment, but even more so in the case of taxes on unexpected profits, because (companies) have not done anything to deserve those gains.