Tax jeopardizes Free Zone
PANAMA. The Colon Free Zone Users Association has sent an open letter to the government asking them to reconsider the extra tax imposed...
PANAMA. The Colon Free Zone Users Association has sent an open letter to the government asking them to reconsider the extra tax imposed on all the commercial premises of the area.
Recently the government announced that all the users would have to pay one percent of the commercial value of their premises every month.
In the letter the Colon Free Zone Users Association said that currently the free zone is being threatened by forces outside their control like restrictive access of their merchandise to foreign markets such as Ecuador and Colombia, ban credit reductions and restrictions on the insurance coverage of their products and infrastructures. Furthermore their insurance monthly payments have increased considerably.
The Users Association second vice-president, Surse Pierpoint, said that an agreement should be made between the users and the government to help them survive this difficult situation.
The letter published in La Estrella yesterday said that the survival of the Free Zone depends on being competitive and requested that facilities should be provided for visitors and businessmen of the area. It added that before imposing new taxes it is important for the government to take into account that the survival of many families depends on the success of the zone.