CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. World Bank Supporting Guatemalan Tax Grab

World Bank Supporting Guatemalan Tax Grab

by Mike Godfrey, Tax-News.com, Washington

03 July 2014


Guatemala has secured a USD340m loan from the World Bank to support the government's efforts to strengthen tax administration and fiscal policy.

The loan will also help the country improve budget management and public spending, as well as the management and coordination of social policies. It has a maturity of 25 years and a grace period of 10 years.

New initiatives under the loan-supported program include enhancements to the organizational structure of the tax administration superintendence (superintendencia de la administracion tributaria, SAT), and the creation of a department of international taxation within the ministry of finance (ministerio de finanzas publicas, MINFIN).

Under the program, Guatemala aims to increase the amount of revenue generated by income taxes to 3.2 percent of gross domestic product (GDP) by the end of 2014, from 2.7 percent in 2011. It will also strive to increase the number of taxpayers making direct payments to the SAT by at least 10 percent from 2011 to 2014.

Fitch Ratings recently downgraded Guatemala's credit rating from BB+ to BB with a stable outlook, due partly to lackluster results from a tax reform intended to raise revenue by one percent of GDP in 2013.

TAGS: tax | gross domestic product (GDP) | budget | ministry of finance | Guatemala | tax reform

To see today's news, click here.

Leave a comment

Read our Posting Guidelines

 






Close

Password Reminder

Please enter your email address to receive a password reminder.

 






Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »



Tax-News+ Updates

Receive FREE daily updates from Tax-News.com, straight to your inbox. Register Now!

For a tailored solution, choose to receive selected news updates for your preferred jurisdictions and topics, with our enhanced Tax-News+ subscriber service. Read more...

 

Stay Updated

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.


To manage your mailing list preferences, please click here »