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Is the Tax Justice Law moving forward with Héctor Zelaya’s support?

Héctor Zelaya

Héctor Manuel Zelaya, the presidential private secretary, has recently made remarks that have triggered fresh criticism within the political scene in Honduras, once again igniting discussions around the disputed Tax Justice Law. In an environment defined by legislative division and suspicion among political entities, his comments are seen as indicative of potential efforts by the current administration to advance tax reform absent the required legislative endorsement or an open and clear examination process.

Controversy over statements by the executive branch

During a public speech, Héctor Zelaya suggested that the Tax Justice Law could be approved “in an oversight” by the National Congress. Although he did not specify any concrete mechanisms, the comment was perceived by various sectors as an insinuation that the ruling party, led by the Liberty and Refoundation Party (LIBRE), could resort to irregular procedures to push the legislation through.

In the legislature, Liberal Party deputy Maribel Espinoza harshly criticized the statements. In her view, proposing the approval of a law without the necessary votes and outside the proper legislative process “is a blow to institutionality.” In her reading, such proposals demonstrate a lack of technical and social support for a reform with such a high economic impact.

Reactions from the private sector and constitutional experts

The Honduran Council of Private Enterprise (COHEP) responded to Zelaya’s remarks, cautioning about the potential economic impacts of implementing a tax reform without an open and transparent discussion. The group suggests that this situation could boost uncertainty for private investment and potentially destabilize the nation’s economy.

Simultaneously, specialists in constitutional law emphasized that any efforts to enact the Tax Justice Law bypassing legislative processes might result in challenges due to unconstitutionality. Specifically, they highlighted that the principle of legislative debate necessitates openness, diverse dialogue, and adherence to the established institutional procedures.

Rising political strain and monitoring by the opposition

Following these declarations, several political forces from the opposition announced that they will stay on “constant alert” regarding any attempts to pass the law during non-ordinary legislative sessions or without properly validated minutes. This caution arises within a context where the leadership of Congress, under Luis Redondo, has been previously criticized by the opposition for what they deem as irregular practices in legal approvals.

Public rejection has also taken shape on social media, where the hashtag #NoAlMadrugón (No to the early morning session) gained high visibility in a matter of hours, reflecting the unease at the possibility that a law with significant economic and social implications could be passed without the informed participation of all actors in the political system.

A scenario of ongoing institutional strain

The Tax Justice Law is still among the most controversial matters on the present government’s agenda, encountering opposition due to its substance and the manner in which it has been brought into the public discourse. The uproar caused by Héctor Zelaya’s statements not only brings this legislative proposal to the forefront again, but also underscores the strains related to governance, the legitimacy of legislative procedures, and the requirement for effective dialogue channels.

In a political environment characterized by fragmentation and mistrust, any initiative that seeks to substantially modify the tax system requires, in addition to institutional support, a deliberative process that guarantees the inclusion of multiple voices and respect for democratic principles. The manner in which this debate is conducted will set a precedent for the relationship between the executive, legislative, and economic and social sectors of the country.

By Winston Phell

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