In this edition, our partner Ignacio Esnaola Vidal and our associate Colomba Casanueva Pizarro examine the legal and tax challenges surrounding pension fund investments, addressing the inefficiencies of the current system and opportunities for regulatory improvement.
Some key takeaways include:
- The difficulty contributors face in benefiting from the tax credits associated with investments made through Pension Fund Administrators (AFPs), resulting in an inefficient tax burden.
- The impact of the increase in investments in foreign alternative assets following Law No. 20,956, and how this has further highlighted these inefficiencies.
- The importance of jurisdictions that provide efficient regulatory frameworks and tax neutrality for these funds.
- The need to update certain tax aspects of Chile's pension fund system to help reduce inefficiencies for the direct benefit of contributors.
You can read the full article here: https://lnkd.in/dt8M6bbK
