(ZENIT News / Managua, 08.22.2024).- In a new move that further tightens the clampdown on civil society and religious institutions, the Nicaraguan government has dealt a direct blow to the financial backbone of the country’s churches. Following a series of repressive measures that included the imprisonment of clergy, the expulsion of religious figures, and the closure of more than 1,500 NGOs—many of them linked to the Catholic Church—the regime of Daniel Ortega is now targeting the economic resources of parishes and religious institutions through a drastic tax reform.
Donations that the faithful give to their parishes, as well as offerings and alms, will no longer enjoy the tax protection that previously shielded them from state encroachment. With the recent repeal of a key provision of the law, these contributions will be taxed as if they were commercial income, subjecting them to a levy that could range from 10% to 30%. This move threatens to financially strangle the churches, which rely on these funds to support their educational, charitable, and pastoral work, forcing them to rethink their operations under a scheme of increased state scrutiny and control.
The international community has observed this maneuver with growing concern. The United Nations High Commissioner for Human Rights has raised its voice, denouncing that the mass closure of organizations and the imposition of new tax burdens on religious institutions constitute a grave violation of the freedom of religion and association. The international body has not hesitated to label these actions as an affront to fundamental rights and has urged the Nicaraguan government to reverse these measures and ensure an environment of respect for basic freedoms.
This latest strategy by the government is not merely an administrative adjustment but a calculated tactic to weaken the resistance that religious institutions have represented amid the country’s socio-political crisis. By imposing an excessive tax burden on the churches, Ortega’s regime seeks not only to stifle their operational capacity but also to send a clear message: any entity that does not align with the state’s directives will be neutralized.
Meanwhile, in Nicaragua’s temples and religious communities, the impact of this measure is already being felt. Parishes, which previously could allocate Parishes, which previously could allocate donated resources to charitable works and the maintenance of their infrastructures, now face an uncertain future. The need to create new administrative structures and comply with tax requirements that they have never faced before threatens to divert resources that would otherwise go directly to those in need.
In this context, the Nicaraguan church finds itself at a crossroads: resist the government’s pressures, adapt to a new and complex legal environment, or find creative ways to continue its mission in a country where freedom of worship and association is under siege. The response to this crisis will determine not only the future of religious institutions in Nicaragua but also that of a society desperately seeking spaces of freedom and hope amid repression.
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