The reality of it is an overall tax increase, which shifts the burden to consumers. Whether the rich, poor or middle classes get the best or worst of it is not entirely obvious. People who make less than $800 per month get exempted from income taxes, but will pay the five percent tax on some services that used to be untaxed, and even higher taxes on certain luxuries and vices.

The basic changes are:

• The 5% sales tax on most goods sold at retail will be extended to most services (health care and education are excepted), but businesses that gross less than $3,000 per month won't have to charge or pay this tax

• The goods for which the 5% sales tax had previously applied will still be covered

• The 5% sales tax will apply to rents, cell phones, Internet cafes, cable & satellite TV services, and many restaurant meals that had been exempt

• There will be higher luxury sales taxes on motor vehicles worth more than $15,000 ($18,000 if four wheel drive), motorcycles with engines over 500 cc, recreational watercraft, non-commercial aircraft, firearms and jewelry

* People who make $800 or less per month won't pay income tax

• Corporations will have to pay a $250 registration fee, up from $150

• Business licenses will cost 2% of the enterprise's capital, up from 1%, with a minimum of $100 and a cap of $40,000

• Nationally licensed banks will be taxed, between $50,000 and $350,000 depending on their capital

• Panamanian branches of international banks will pay $50,000

• Pawn shops will pay $2,500

• Small finance companies will pay $15,000

• Businesses in those industries like tourism and reforestation that had tax exemptions will keep these benefits

• Various of the new taxes will go into effect at different times, but everything will be in place by April 1

Nobody is fooled. Legislators send their suplentes to vote for unpopular legislation, then come election time they deny supporting it.

It doesn't wash. Each of the following legislators SUPPORTED HIGHER TAXES by the cowardly route, sending their suplentes in to vote for it:

Lilia Broce, Arnulfista

José Olmedo Carreño, Arnulfista

José Luis Fábrega, Arnulfista

Elpidio González, Arnulfista

Marcos González, Arnulfista

José Urrutia, Arnulfista

Gloria Young, Arnulfista

Sergio Gálvez, Cambio Democratico

Wilberto Wintero, MOLIRENA

Alberto Magno Castillero, Solidaridad