Capital gains breaking news...

On July 25th President Moreno, announced reforms to the Capital Gains law (effective since December 30th 2016 while Rafael Correa was still at the office, referring to the fact that the law as it is, is affecting the construction sector and with a strong purpose in mind to boost this sector he is committed to send reforms to the current capital gains law which set a tax of 75%.

Several assembly members have spoken on the matter, Alianza Pais’ members say that they are willing to review the reforms and if necessary make reforms and the assembly members of the opposition are requesting to return to the old 10 % provision, which was calculated between the purchase price and the selling price of a property. For now, we need to wait for the results, but it is almost certain that the current law of capital gains will be partially reformed.

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