This is the political climate for tax reform: Why is the government introducing the initiative knowing it won't pass?

The tax reform officially arrived in Congress, but it hasn't changed the negative sentiment surrounding the Petro government's initiative, which was announced since the budget was presented and seeks to collect 26 billion pesos.

If Congress rejects the amount as proposed by the government, it is also very likely to reject the tax reform. The future of the controversial bill will depend on the rulings of the economic committees, and the charges are contrary to the interests of the Executive Branch.

For some, what the government wants is to decree the budget just as it did after Congress sank the financing law in December 2024.

"This is a political strategy to say, 'They didn't let me, Congress denied it,' and it's an electoral campaign strategy for the Historic Pact slates in Congress," said Senator Angélica Lozano.

However, there are other voices that point out that the other possible option is for the economic committees to decide to lower the amount, but this option would not be viable because some congressmen claim that in the House they would be subservient to the government. Remember that all committees must agree for a decision to be made.

“The Senate definitely has the votes to remove it. The question is whether the House has the votes. I do believe that for the government, the ideal world is a decree, because it frees up its hands to incur whatever debt it wants and campaigns against Congress. My thesis is: they want a hobbyhorse to say "they didn't let me," just like with the submission bill,” Lozano asserted.

The Petro administration has two allies in the House economic committee chairs: Wilmer Castellanos and Gloria Rodríguez. In the Senate, however, it lacks the same support, with Jairo Castellanos heading the Third Committee and Enrique Cabrales heading the Fourth.

The latter has been one of the most vocal opponents of the reform being pushed by the executive branch: "The Petro government is abusive to Colombians. The tax dictatorship hits the neediest families hardest. If you dream of buying your first car to work, start a business, or take your children to school, with the new tax reform, that dream will cost you much more."

However, the government remains optimistic following the meeting two weeks ago with the reform's sponsors. "We are optimistic after this meeting, where great progress was made," said Minister Armando Benedetti regarding the possible approval of the amount before the second week of September.

The economic committees have until September 15 to approve or modify the amount of money requested by the Government for the next term.

Maria Alejandra Gonzalez Duarte