QCOSTARICA – Former president Abel Pacheco de la Espriella (2002 – 2006), in a meeting with President Luis Guillermo Solis this afternoon, voiced the sentiment of many Costa Ricans, the government must curb public spending before advocating higher taxes.
Solis, like he did last with former president Oscar Arias (1986-1990 and 2006 – 2010), paid Pacheco a visit as his home in Rohrmoser to discuss the fiscal and political situation of the country.
Pacheco said the country, in economic matters, is “living in a very dangerous situation”, telling Solis “you have to moderate expenses”.
On taxation, the former president agreed with the administration’s plan for a change from the current tax on retail sales to a “valued added tax” or VAT and on income tax (renta in Spanish)
“If the situation is not remedied of these evils our children and grandchildren will not see the Costa Rica we know,” said Pacheco.
Meanwhile Solis was grateful to Pacheco for his comments, saying his government is promoting spending cuts and cut wasteful spending.
At the meeting that lasted about two hours, present were also the minister of Finance, Helio Fallas, the minister of the Presidency (Chief of Staff), Sergio Alfaro and the former minister in the Pacheco government and former PUSC presidential candidate, Ricardo Toledo.
No word yet from Casa Presidencial (Government House) if President Solis will meet with his predecessor, former president Laura Chinchilla Miranda (2010-2014)
Other former presidents of Costa Rica still living are: Luis Monge Alvarez (1982-1986), Rafael Angel Calderon Fournier* (1990-1994), José Figueres Olsen (1994-1998) and Miguel Angel Rodriguez Chavarria* (1998-2002).
* Former presidents Calderon and Rodriguez have been involved in corruption scandals, trial and sentence.
This new income tax bill, when is the vote and how quickly would it go into effect if it passes? I just read a summary on and its CRAZY… Could it actually pass?