Magín Díaz says 90% of proposed tax revenue will come from wealthiest 1%

Santo Domingo.- Finance and Economy Minister Magín Díaz told lawmakers that more than 90% of the revenue expected from the proposed Economic Growth, Tax Simplification and International Crisis Mitigation Bill would come from the wealthiest 1% of the Dominican population. He said the initiative was designed to promote fiscal stability while protecting the middle class, vulnerable groups, and micro, small and medium-sized enterprises (MSMEs).

Speaking before the bicameral commission reviewing the bill in Congress, Díaz explained that the measures are expected to generate between RD$40 billion and RD$50 billion in revenue without increasing the ITBIS (VAT) or imposing new burdens on small businesses. He described the proposal as a balanced response to current economic challenges, aimed at reducing the fiscal deficit, maintaining subsidies, and preserving macroeconomic stability.

The minister also stressed the government’s commitment to transparency, announcing that the Executive Branch will implement an accountability mechanism to track the impact of the measures and the use of collected funds. During the session, Díaz answered questions from government and opposition legislators and reiterated his willingness to continue dialogue throughout the legislative process, supported by technical data and analysis.