Governor: Now is not the time to lower the IVU
By The Star Staff
Gov. Pedro Pierluisi Urrutia said Tuesday that now is not the time to lower the sales and use tax (IVU by its Spanish acronym) in response to an investigative resolution filed by New Progressive Party (NPP) lawmakers for that purpose.
“That is something that at some point in the future we will have to adjust,” the governor said at a press conference. “Part of the IVU is already committed for debt repayments, but not all of it is. There is an amount that could be reduced at some point, but the time, I think, is not now.”
“We are beginning a new chapter in the economic history of Puerto Rico,” Pierluisi added. “We’re going to be leaving bankruptcy behind. We are now going to have an agreed level of debt that I am convinced is sustainable, but we want to see how this behaves in revenues and government spending, and we must act responsibly.”
Asked if the legislators of his party consulted him prior to filing the proposal, the governor answered “no,” but justified the action by saying that it is an investigative resolution and the legislators have independent criteria.
Treasury Secretary Francisco Parés Alicea did not express an opinion on the matter, but announced that he was summoned by the House of Representatives to testify as part of the resolution.