With all the negative connotations associated with the term "tax haven" , the Colon free zone operators are labeling Howard's proposed benefits as providing just such a place. As if the Colon Free Zone has not taken advantage of that regime for many years. In order for the Howard mega project to be viable, they must receive significant tax breaks, especially in this economic climate. But the existing free zone does not want any competition, and saving a drive to Colon, would certainly give them the edge IMO.
From La Prensa Tuesday: A measure that would grant significant tax breaks to businesses operating within the former Howard Air Force Base is currently being debate in the National Assembly's Committee on Commerce.
The bill, which has received preliminary approval from the committee, grants various tax breaks to businesses locating in Howard, including exemptions for automobiles, machinery and raw materials. The bill, which has received preliminary approval from the committee, grants various tax breaks to businesses locating in Howard, including exemptions for automobiles, machinery and raw materials.
The bill has been viewed with a critical eye by business owners in the Colón Free Zone, who think that it may give businesses in Howard an unfair edge if it is approved. The bill has been viewed with a critical eye by business owners in the Colon Free Zone, who think that it may give businesses an unfair edge in Howard if it is approved.
Digna Donado, directors of the Association of Users of the Colón Free Zone, noted that the committee seems to be “in a rush” to pass the bill, which has been drafted without any input from various stakeholders. Digna Donado, directors of the Association of Users of the Colon Free Zone, noted that the committee seems to be "in a rush" to pass the bill, which has been drafted without any input from various stakeholders. Donado said the bill appears to make Howard a “tax haven.” Donado said the bill appears to make Howard a "tax haven".
“This bill should be reviewed with greater transparency,” Donado said. "This bill should be reviewed with greater transparency," Donado said.
