Economy & Business - May 2022

VENEZUELA: Attempting to rein in dollarisation

The Venezuelan government led by President Nicolás Maduro introduced a ‘tax on large financial transactions’ (IGTF) on 28 March. Despite the name, the tax places an additional charge on all transactions made in foreign currency or cryptocurrencies, however small. When the IGTF was announced in February, it was declared that the rate would vary between 2% and 20%; in reality, the tax adds 3% to most transactions. This has led to numerous criticisms that the IGTF is a value-added tax (VAT) increase under a different name, adding to the current VAT rate of 16% on non-exempt items.

End of preview - This article contains approximately 561 words.

Subscribers: Log in now to read the full article

Not a Subscriber?

Choose from one of the following options

Intelligence Research Ltd.
167-169 Great Portland Street,
5th floor,
London, W1W 5PF - UK
Phone : +44 (0) 203 695 2790
You may contact us via our online contact form
Copyright © 2022 Intelligence Research Ltd. All rights reserved.