ESTABLISHES RULES ON DEBT RESCHEDULING OF THE |! | UNIVERSITY TAX CREDIT Having present that the H. National Congress has |! |given its approval to the following Bill: " Article 1 °.-The beneficiaries of the tax credit |! |university established in the decree with force of |! |law N ° 4, 1981, of the Ministry of Education, and that a |! |the date of publication of this law are debtors |! |of the Fisco, of institutions of higher education to |! |referred to in article 2 ° or both, will be able to |! |benefit from the benefits listed below, |! |in terms that (a) The fees due, due and to be defeated, |! |prior to the cancellation of the delinquent interest, shall be |! |consolidated as at 31 December 1990, establishing |! |a new debtor balance, expressed in tax units |! |monthly, in a pagare that must be subscribed by the |! |debtor, at the latest, within 135 days counted from |! |the validity of this law, the date on which the deadline will expire |! |to benefit from the benefits it establishes. By the |! |period I mediate until the subscription of the document |! |referred, will be suspended the procedures of |! |aaward that would have been initiated against the |! |debtors. (b) The debt so consolidated shall be an interest of the |! | 1% per year and shall be paid in 10 equal annuities, |! |successive and non-extendable, due to 31 of |! |December of each year, beating the first of them |! |exceptionally, on 31 January of 1992. c) Notwithstanding the above, the debtor will not be |! |obliged to pay in each annuity more than 5% of the |! |income which he has obtained in the year immediately |! |above, expressed in monthly tax units |! |corresponding to each of the months when they were |! |perceived the income. For these purposes, it will be |! |will consider as the debtor's income the |! |corresponding to your gross income minus the |! |legal discounts. When 5% of the debtor's income in the year |! |above is less than the value of the annual fee |! |agreed as set out in (a) and |! |b), the difference will become part of your balance |! |debtor. After 10 years, and having served the |! |debtor all obligations that are required in |! |virtue of this law, the debtor balance will be waived in your |! |whole by the sole ministry of law. d) If the debtor credits his/her average income |! |monthly, calculated from the form set by the |! |first (c), is less than or equal to two |! |minimum monthly income in force at December 31 |! |of the respective year, may choose to pay a fee |! |annual equal to 2.5 monthly tax units | !|(U.T.M.), or increase your debtor balance in the |! |value of the fee you were supposed to pay in the year. However, in the case that the debtor is married |! |you will have to accredit, additionally, to the creditor, for |! |that the option indicated in the paragraph |! |precedent applies, that your average income added to those of |! |your spouse has been less to three minimum income |! |monthly in effect at December 31 of the year |! |respective. Notwithstanding the above, if the spouses are |! |both debtors, the above limit will be raised to |! |four monthly minimum income. The resulting debtor balance will be |! |donated in equal form and opportunity as the |! |set in the final letter of the previous letter. e) At the request of the interested party, the payment of the quotas |! |annual may be effected, in two or more parities, |! |within the respective term of maturity. In all |! |case, each bias may not be less than 0.15 |! |monthly tax units. f) The debtors will credit their income by means of |! |affidavit, to which they will accompany the statement |! |of rent or, in their defect, certificate of salary of the o |! |their employers. Such income may be verified with |! |all those records of the Service |! |of Internal Revenue and other agencies. If the respective institution determines that the |! |debtor lacked the truth in such antecedents, |! |shall immediately proceed to the total debt collection with |! |their respective interests, without prejudice to the |! |criminal liability that corresponds to the debtor, of |! |agreement with the provisions of article 210 of the Code |! | Penal. (g) The annual delinquent shares of the |! |consolidated debt in accordance with point (a), |! |shall bear a criminal interest of 1,5% for each month or |! |fraction of the month the debtor is awarded in the payment of |! |them. h) Debtors who do not comply with the payment of one of |! |their annual fees will lose respect to it |! |benefits set out in the letters c) and d) |! In this case, the total of |! |the fee due with the surcharge indicated in (g) of |! |this article will be required. i) The debt holders originated by the system |! |university tax credit who are in |! |arrears to the date of validity of this law and are engaged in the |! |rescheduling that this article establishes, will be able to |! |request to be certified this fact in order to clarify |! |the banking or commercial background that they can |! |affect them. Article 2 °.-The institutions of education |! |superior to those that under the letter a) of the article |! | 71 of the law N ° 18,591, were passed quotas of |! |university tax credit owed and due |! |to count of 1988, that apply in respect of such credit |! |the precept in this law, they will receive, for the Funds |! |respective, from part of the Fisco, an equivalent contribution |! |to 65% of the amount of the condonations of the interests |! |moratoria that establishes the letter a) of the Article 1 of |! |this law. The same institutions will receive from the |! | Fisco, annually, for the respective Funds, a |! |contribution equivalent to 32.5% of the difference between the |! |fee payable corresponding to 5% of the income of the |! |debtor, as referred to in point (c) of the item 1 °, and |! |the amount that would have been payable to you according to the |! |annuity determined by rescheduling the debt of |! |according to the letters a) and b) of the same article. Subsequently, when the write-off is applied |! |disposed in the final letter c) of the article |! | 1 °, the higher education institutions will receive |! |from the Fisco, for the respective Funds, a contribution |! |equivalent to 32.5% of the Donated quantities. Article 3.-In the determination of the debt and the new conditions of payment in accordance with the foregoing articles, the sum of the amount due for the concept of university tax credit to the Fisco and to the universities or institutes shall be considered (i) For the purposes of determining the debt, the amount of the quotas and the time limits in which it must be paid, the General Treasury of the Republic will sign agreements with the institutions of higher education that correspond, within the period of 60 days, counted since the publication of this law. Declare that the consolidated amount in which the Fisco participates as a creditor, will have the nature of a public sector credit, for the purposes of its collection and collection. Effective recoveries of claims, in cases where there is more than one lending institution, shall be distributed in proportion to the percentage of the balance of the total debt corresponding to each institution at the time of the reprogramming as set out in Article 1 of this Act. Similarly, the grants resulting from the application of Article 1 (d) shall also be the subject of a similar tax contribution to the amount referred to in the second and third subparagraphs of Article 2. The distribution of all these contributions will be made in accordance with the procedure set out in the preceding paragraph, which once determined will be allocated annually among the institutions by supreme decree of the Ministry of Finance, in addition to the Minister for Education. Article 4 °.-The Treasurer General of the Republic and |! |the Administrators of the Credit Funds |! | University, as it is tax credits |! |university in power of the Fisco or the institutions |! |higher education, will be (i) the right to grant a condonor |! |the debts of the university tax credit to which it is |! refer to Article 1, in those cases of pupils of |! |universities or professional institutes which have been excluded from such institutions for reasons of reasons of |! |policies and students of these institutions |! |they are children of civil persons or belonging to |! |the Armed Forces and Order, who lost their life |! |for reasons of political character that occurred with |! before March 11, 1990. The Board of Rectors will prepare a proposal of |! |the respective institutions, payroll of all the |! |cases that result from the application of this article. The |! |deadline to request this type of write-off will be |! |within 135 days counted from the time of this |! |law, and must be resolved within the time limit of the 60 |! |days following your submission. Likewise, the Treasurer General of the Republic and the |! | Administrators of the respective Credit Funds |! | University will be empowered to write the |! |debts of university tax credit to whom are |! |find physical or intellectually disabled in |! |permanent way to work, due to over-coming |! |the granting of the university tax credit, |! |circumstance that must be duly accredited by |! |the Health Service corresponding to its domicile. In any case, the death of the debtor will cause the |! |extinction of the debt. This benefit will be extended to the |! |debtors who passed away prior to the entry into |! |validity of this law. What is established in this article will entitle the |! |creditors to receive a contribution equal to the one indicated in the |! |pri Article 2 ° and its distribution, when |! |there is more than one lending institution, must |! |be effected in accordance with what you establish the |! |regulation. Article 5 °.-Facultbe to the institutions of |! |higher education referred to in article 70 of the |! |law N ° 18,591, so that, through the Administrators |! |of the University Credit Funds, they make discounts, |! |for the advance payment of full annual fees of |! |debts of university tax credit, in favor of the |! |debtors that to the date of the publication of the present |! |law are found to the day in the fulfillment of their |! |obligations. The Fisco will provide a contribution to the institutions of |! |higher education that in use of this faculty make |! |discounts for advance payments of the annual quotas |! |agreed, in the dates and percentages set in the |! |following table: Dates of periods paid up to discount 1) 31 January 1992 40% 2) 31 December 1992 35% 3) 31 December 1993 30% 4) 31 December 1994 25% 5) 31 December 1995 20% 6) 31 December 1996 15% Such discounts shall be apply over the amount |! |paid by the debtor in excess of the value of the quota |! |annual agreed. For debtors who, meeting the |! |day in their obligations, are engaged in rescheduling |! |set in article 1 °, shall be considered as |! |agreed annual fee the resulting of the application of |! |the letters a) and b) of the said Article. The tax contribution to the Credit Funds |! | University that apply the discount system |! |established in this article, will be 65% of the |! |discounts effected, the one that will be determined by |! |supreme decree of the Ministry of Hacienda, subscribed |! |further by the Minister of Education. In addition, the institutions of education |! |superior to the article 70 ° of the law N ° |! | 18,591, so that, through the Administrators of |! | University Credit Funds, they can establish |! |discounts for payments The following are the provisions of this |! |law, which, having rescheduled, are in compliance with and |! |timely the obligations that were required of them |! |by virtue of the same. These discounts may not be |! |higher than those stipulated in the first and |! |second points of this article, and the institutions will not |! |be entitled to receive this concept, input |! |tax, for the respective Funds. Article 6.-The fiscal expenditure that means the application of this law, shall be consulted annually in the respective Budget Law, in the corresponding item. The tax expense that the application of this law demands during 1991 will be financed by the resources consulted in item 50-01-03-25-33.004 of the Public Treasury Item of the current budget. Article 7 °.-Authorize the institutions of higher education with state funding referred to in the decree with force of law No. 4, of the Ministry of Education, 1981, to write down the debts caused until December 31, 1990, The Commission has been unable to pay for the university tariffs of those students who have been subject to duly executed internal sanctions resulting from their political activity, and have been prevented from applying for post-application and access to loans. institutions for the payment of their license plates. Article 8 °.-The payroll of the defaulting debtors in respect of the obligations referred to in this Law, as from 1 July 1992, shall be of a public nature. TRANSITIONAL ARTICLES Article 1 °-State institutions of higher education, including the Universities of Chile and Santiago de Chile, have been granted the right to discounts until 30 June 1991. debtors of university tax credit for advance payment of their obligations. Article 2.-The payment of the first agreed annual instalment due on 31 December 1991 may be paid at a maximum of two instalments, the second of which shall be as at 31 March 1992. ' And because I have had to approve and sanction it; therefore, promulgate and take effect as the Law of the Republic. Santiago, 9 September 1991.-PATRICIO AYLWIN AZOCAR, President of the Republic.-Ricardo Lagos Escobar, Minister of Education.-Alejandro Foxley Rioseco, Minister of Finance. What I transcribe to you for your knowledge.-Salute attentively to you-Raul Allard Neumann, Undersecretary of Education.