Oil, gas tax hike becomes law in Bolivia

In a move May 17 that surprised much of his country, Bolivian President Carlos Mesa accepted a bill sharply increasing taxes on foreign oil and gas companies.

May 19, 2005

By OGJ editors

HOUSTON, May 19 -- In a move May 17 that surprised much of his country, Bolivian President Carlos Mesa accepted a bill sharply increasing taxes on foreign oil and gas companies.

Mesa let pass the deadline for his action on legislation adding 32% tax to an 18% royalty and requiring oil and gas firms to sign new contracts with the Bolivian government (OGJ Online, May 2, 2005). The bill returned to the Bolivian Congress and became law.