In the fourth quarter of 2021, 137 countries reached a ground-breaking agreement on the reform of international aspects of Corporate Income Tax (CIT) within the OECD-coordinated Inclusive Framework (IF) on BEPS (Base Erosion and Profit Shifting). Thirty-one of these are Latin American and Caribbean (LAC) countries, and they are currently working to ensure that the voluntary … [Read more...] about Advances in the new international taxation and challenges for Latin America and the Caribbean
Emilio Pineda
Emilio Pineda serves as Chief of the Fiscal Management Division at the Inter-American Development Bank (IDB) since September 2019. A Mexican citizen, he has a PhD in Political Economy at the University of Columbia, and a bachelor's degree from the Instituto Tecnológico Autónomo de México (ITAM). Between 2003 and 2008 he worked as an economist in the Western Hemisphere Department at the International Monetary Fund (IMF), where he was responsible for conducting monetary, fiscal, and debt analysis for the Caribbean. Between May 2008 and June 2012, he worked at the Secretary of Finance in Mexico, where, among others, he was responsible for the monitoring and regulation of subnational debt, the accounting harmonization of states and municipalities, and the tax regime of public enterprises including the Mexican state-owned petroleum company, PEMEX. Between 2012 and 2019, he was a Principal Fiscal Specialist of the Fiscal Management Division at the IDB, where he led programs to strengthen subnational fiscal management in Brazil, Argentina and Uruguay. He has published numerous articles in the field of decentralization, subnational taxation, subnational debt and state-owned enterprises.
The Fiscal Puzzle of the Ukraine War for Latin America and the Caribbean
The war in Ukraine has produced a significant increase in energy costs that will likely delay the fiscal consolidation efforts already put in place by several governments in the region. This supply shock is also likely to fuel inflation and higher interest rates, adding further pressure on governments trying to service their debts. Higher domestic and global inflation has … [Read more...] about The Fiscal Puzzle of the Ukraine War for Latin America and the Caribbean
Revisiting Personalized VAT: A Tool for Fiscal Consolidation with Equity
The economic contraction tracked by the COVID-19 pandemic has created large fiscal imbalances that will lead Latin American and Caribbean (LAC) governments to pursue fiscal consolidation policies to increase revenues and reduce expenditures. In the tax realm, questions inevitably arise as to the adequacy of tax revenues and the equity of the proposed measures. That calls for … [Read more...] about Revisiting Personalized VAT: A Tool for Fiscal Consolidation with Equity
How can tax policy promote investment in the post-pandemic period?
Promoting private investment -both foreign and domestic – must be the cornerstone of any pro-growth fiscal policy in the post-pandemic period. Governments in Latin America and the Caribbean (LAC) must ensure that the design and implementation of such policies – which usually involve the use of tax incentives – protect tax revenues and attract the type of investment that can … [Read more...] about How can tax policy promote investment in the post-pandemic period?
Can a wealth tax reduce inequality in Latin America and the Caribbean?
The COVID-19 pandemic had strong economic and social impacts that have exacerbated the problems of inequality between rich and poor. While the wealthier classes were able to preserve their jobs and work remotely, many low-income workers lost their sources of income overnight, or saw their incomes shrink dramatically. This increase in inequality, coupled with large fiscal … [Read more...] about Can a wealth tax reduce inequality in Latin America and the Caribbean?