Collection of new wealth tax would not arrive as quickly as needed to address the winter emergency

TL;DR

The Ministry of Finance has proposed a wealth tax for corporations to address economic emergencies, specifically to fund relief for those affected by heavy rains.
The proposed tax would apply to net assets above approximately $10 billion Colombian pesos, with marginal rates of 0.6% and 1.2%.
Experts express doubts about the tax's viability, timing, and its potential to generate sufficient funds quickly for the emergency.
Concerns include the possibility of double taxation, as corporate assets ultimately belong to individual shareholders who may already pay wealth tax.
Critics argue the tax could increase business costs, potentially leading to higher prices and contributing to inflation.
Industry leaders describe the tax as a "tax on investment," arguing it discourages businesses from retaining productive capital in the country.
Technical experts question the tax's coherence with the current tax system, stating it may not generate immediate revenue due to its timing and calculation basis.
Some recognize the progressive nature of the tax by targeting larger companies, but caution against its implementation during an already weakened economic climate.
The debate centers on the practical application, tax system coherence, and effectiveness of the tax in addressing economic emergencies without harming business confidence or future growth.

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