Reforms to the ecuadorian tax system: a look from the Cotopaxi micro entrepreneurs

Abstract

Taxes are used as a tax collection strategy; in this sense they are subject to constant reforms in order to cover the requirements demanded by a country's public spending. In Ecuador, one of the most recent and high-impact reforms was created in 2020 called the Simplified Regime for Microenterprises, established through the Organic Law of Tax Simplicity and Progressivity. The objective of the research is to analyze the incidence of the microenterprise regime in the province of Cotopaxi, for this purpose a mixed qualitative-quantitative methodology with a descriptive approach was applied, the data was collected from instruments that respond to the purposes of both approaches ( surveys and reports), the results of the investigation show that the Latacunga canton represents the largest collection item, generating an average of 87% of the province's taxes, a reduction of 1.4% in microentrepreneurs, the general collection index is reduced 10.98%, individually they reflect reduction of VAT 15%, IR 5% and ICE 44% in the year 2020 compared to the previous period 2019 and after 2021.