Former president and current candidate Michele Bachelet has proposed to elevate corporate taxes by five points. She is eager to progress the taxes over the next four years to 25% in order to reduce wage taxes.

This will result in employees seeing bigger paychecks, as the percentage of taxes paid would go from 40% to 35% in just the first year. “Employers have already said that they would comply with this,” Bachelet said.

Bachelet explained that the state would then use 3% of Chile’s GDP, even though it would only cost 2%, to cover educational expenses, since she had promised she would make advances to free university education.

“Look at the countries with which we compare ourselves. With these three points we would reach the same level as them,” declared Bachelet.

She defended that this would eliminate the possibility of educational institutions getting benefits, as suggested by student movements.