Chilean Government's Mega-Reform Faces Crucial Vote Amid Storms and Opposition

Chile's government is pushing forward with a significant economic and tax reform bill, facing a critical vote in the Chamber of Deputies. Minister of Finance Jorge Quiroz expressed optimism for a "positive day," hoping the legislation will pass and usher in an era of "growth."

The reform, a flagship initiative of the ultraconservative President José Antonio Kast, proposes lowering the corporate tax rate from 27% to 23%. It also includes VAT exemptions on home purchases, tax benefits for repatriating capital, and a controversial measure to freeze taxes for large investments.

Despite the government's urgency, the bill faces strong opposition. Center and left-wing parties announced they would appeal certain articles to the Constitutional Court. They also unsuccessfully requested a postponement of the vote, citing a severe storm system that has battered 10 of the country's 16 regions, causing at least 10 deaths.

"We hope today's vote will reaffirm the urgency of moving the country forward," Quiroz stated upon arriving at the plenary session in Valparaíso, a city under a red alert for heavy rains and potential flooding. The bill narrowly passed the Senate last week and requires 78 votes in the Chamber of Deputies, where the ruling party holds 76 seats. The outcome hinges on the Partido de la Gente (PDG), a populist opposition party acting as a "kingmaker," whose support remains uncertain.