In a move that has drawn widespread criticism, the Nicaraguan government has ordered churches and religious organizations to pay income taxes, effectively revoking their previous tax exemptions. This decision, announced in an official statement on Thursday, comes alongside the forced closure of more than 150 non-governmental organizations (NGOs), further intensifying the ongoing crackdown on dissent against President Daniel Ortega’s regime.
The decree, which bears Ortega’s signature and was published in the official La Gaceta, mandates that these entities pay taxes ranging up to 30 percent of their annual revenues. This action represents a significant blow to the financial stability of churches and religious organizations, many of which are actively engaged in educational, social, and assistance efforts, particularly for vulnerable populations.
The government’s decision to target religious institutions has been met with international condemnation. The United Nations High Commissioner for Human Rights expressed “deep concern” over the move, stating that it effectively “threatens freedom of religion and freedom of association” and calling for the “guaranteeing and protection of fundamental freedoms” of individuals.
The forced closure of 151 NGOs, predominantly international entities and chambers of commerce, follows closely on the heels of a prior shutdown of approximately 1,500 NGOs. The opposition in exile has characterized these actions as an assault on civil society, further restricting the space for dissent and independent voices in Nicaragua.
Since the protests against Ortega’s regime erupted in 2018, leading to a violent crackdown that the United Nations reported resulted in over 300 fatalities, the government has imprisoned hundreds of actual and perceived critics. The recent announcement marks the most extensive action against NGOs to date, with more than 5,200 civil organizations dissolved since 2018.
Ortega, who initially rose to power in Nicaragua as the head of a junta in 1979, has consolidated control over all state branches after regaining the presidency in 2007. His administration currently faces sanctions imposed by both the United States and the European Union, which have condemned the government’s human rights abuses and suppression of democratic institutions.
As Nicaragua continues down this path of repression and intolerance, the international community has called for a restoration of fundamental freedoms and a return to democratic principles. However, the future remains uncertain as Ortega’s government tightens its grip on power and silences dissenting voices, including those from within the religious and civil society sectors.
