Venezuelan Regime Will Tax Hard-Currency Transactions

The Venezuelan regime announced on Thursday morning it will tax hard-currency transactions between clients of the same bank, representing an effort to boost tax revenue amid a broader economic liberalization.

The Venezuelan regime announced on Thursday morning it will tax hard-currency transactions between clients of the same bank, representing an effort to boost tax revenue amid a broader economic liberalization.

“Foreign currency transactions within (a financial) entity will pay a transaction tax,” Venezuelan regime’s Vice President and Finance Minister Delcy Rodriguez wrote on her Twitter account. “For this purpose, the respective law will be reformed,” she pointed out.

Rodriguez also said that the tax would be set at a rate higher than the existing tax on large-volume operations in bolivars, without providing further details. The regime will also allow more businesses to become involved in currency exchange, which is currently restricted to a small group of brokerages with authorization from the central bank for such activities.

According to figures released by the opposition-run National Assembly, the Venezuelan local bolivar currency has depreciated 43 percent this month alone, while inflation between January and October was 1.798 percent.


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