Chile Congress Backs Legislation Generating Billions in New Tax Revenue

Chilean legislators gave their final approval to legislation that clamps down on tax evasion and boosts government revenues, handing President Gabriel Boric a win days before he unveils the 2025 budget.

The lower house of Congress on Wednesday backed prior changes to the bill made by the Senate. The text toughens penalties for tax crimes, strengthens oversight of businesses, combats informality in the economy and limits cash payments, among other measures. When fully in effect, the legislation aims to increase total government tax income by 1.5% of gross domestic product, or roughly $4.5 billion.