Private individuals use philanthropy to evade taxes, says López Obrador

Private individuals use philanthropy to evade taxes, says López ObradorPrivate individuals use philanthropy to evade taxes, says López Obrador


Mexico City, October 20.- Philanthropy, the promotion of culture ? “No, that is not the function of companies , their function is to invest, produce, create jobs and pay their contributions ,” stressed President Andrés Manuel López Obrador .

At the National Palace, he denied any signs of fiscal terrorism in his proposed economic package , and instead, he put forward his administration's determination not to increase taxes .

It's not like before, when " they were constantly inventing how to pocket people , to take money."

He recalled the subsidies erased by so-called economic neoliberalism : "And I'm going to say this, even though the technocracy doesn't like it, because the word gives them a rash, because they were so deceived by the idea that it was very bad. Well, the word is subsidy . Do you remember how they stigmatized subsidies ? They eliminated them all; subsidies were maintained in the developed countries of the world, and they were eliminated in Mexico."


On Monday, the Chamber of Deputies approved the Revenue Law in general , and yesterday, the president was asked for his opinion on the opposition's position, which calls including those over 18 years of age in the Federal Taxpayer Registry a fiscal terrorism .

The President considered his proposed economic package to be the most beneficial for the country and Mexicans , as it puts the general interest, the interest of the people, first, he asserted.

López Obrador responded to his critics: “There are groups seeking to profit or consider their proposals relevant, but it's already established as a political norm that the most important thing is the general interest, the public interest. The truth is that taxes are not being raised. We're going to speak clearly so there's no manipulation. We've now gone three years without tax increases in real terms, three years without gas price hikes—it's not like before—and three years with a policy of austerity and anti-corruption. The budget and the Revenue Law move in that direction; hopefully, legislators will approve them.”


The president then explained the obligations of the private sector, and how its participation in philanthropic and cultural activities is intended to avoid paying taxes.

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