Cerrud demands ACP contractors pay taxes in Colón

The Panama Canal Authority (ACP) has not commented or issued a statement following Cerrud's statements at this public forum in the Colón Municipal Council. During his speech before this local government body, Cerrud pointed out that it is unfair for the projects that the ACP develops in the province to stop generating real benefits for the community, recalling that the ACP's special regime does not exempt private companies from their municipal tax obligations. In this regard, Cerrud also defended the hiring of local labor, highlighting that there is qualified and prepared personnel in the province. Contracts must be executed respecting the current national and local laws. Ricardo Cerrud, representative of the corregimiento of Cristóbal, demanded that the contracting companies linked to projects of the Panama Canal Authority (ACP) comply with the payment of municipal construction taxes. Law 19 of 1997, which organizes the ACP, clearly establishes that the entity can hire private companies, and said companies do not acquire automatic tax privileges, he added. He indicated that the Constitution and the Municipal Code support the autonomy of municipalities to collect taxes within their jurisdiction, including those related to construction works. In this sense, the contractors executing projects in Colón must comply with these taxes, as there is no express legal exemption. 'Colón cannot continue to see development pass by without participating in it,' he affirmed.