Law of Simplification and Tax Progressivity: Analysis of its impact on the taxation of Ecuadorian micro-enterprises

Abstract

This article is done to publicize how the new “Tax Progressivity and Simplification Act” will govern the new Act, which, according to the Executive, will raise more money to be used to cover public debt, in the same way it will use to simplify procedures for companies to incentivize themselves to comply with the established payments and must comply with the principle of progressivity. So this research focuses exclusively on micro entrepreneurs, since, with the new regulation, taxation in the country will take a turn of 180°, so that it can affect or benefit this type of company, the same ones that can usually count on different common mistakes, as well as, the failure to carry out a proper financial control. This research was developed with a qualitative approach, descriptive and exploratory, because the methodology consists of reading this new law, to analyze it and describe the features related to the topic.