President Fernández signed into law the long debated tax reform bill. The tax package is intended to replace the funds that will be lost as a result of the implementation of the free trade agreement with the United States and Central America (DR-CAFTA), which provides for reductions in import duties and tariffs. The most important aspects of the bill are the following :

a) Application of the 16% ITBIS (VAT) to more than 100 new products.

b) Increase from 25 to 30% of the corporate tax rate and highest bracket for individuals.

c) 1.5% tax on gross sales for corporations.

d) New 17% vehicle registry tax.

e) New 1% tax on corporate assets.