Puerto Rico Senate Overrides Governor Veto, Nixes Contentious Tax Hike

Puerto Rico’s Senate on Thursday joined its house of Representatives in balloting to dam a brand new round of tax increases on business-to-enterprise transactions and prevent the established order of a valued-introduced tax on the island.

The Senate voted 21-1 in want of overriding a veto by way of Gov. Alejandro García Padilla who sought to preserve the ultra-modern phase of rules surpassed simply closing year that would have boosted the tax price to 10.5 percent from four percentage on June 1.

The vote inside the Senate comes just a few days after the residence voted 47-1 in desire, overriding the governor’s veto on may additionally 20.

In each cases, the votes represented a flip-flop by using the legislature and helped them maintain a partial repeal of the law they had created. The stop end result may want to bring comfort for neighborhood corporations and signals growing discord inside the island’s authorities as election season heats up.

A spokeswoman for the governor had no instantaneous comment. García Padilla announced in December that he might now not searching for re-election.