Specifically, the agreement with the international financial organization includes the following paragraph in the chapter where the promises of higher revenues as a result of the tax policy appear: “In close coordination with provincial governments, at the end of September we will complete the process of updating real estate appraisals at federal level (structural reference) in order to come into force as of fiscal year 2022. The net income from co-participation of this initiative could reach 0.1% of GDP for fiscal year 2022 and an additional 0.2% of the GDP over the next few years. That 0.1% implies about $65,000 million, while 0.2% would reach up to $140,000 million if the GDP growth commitment for this year of between 3.5 and 4.5% were fulfilled, a percentage that also appears in the agreement.
The Government does not view with bad eyes the progress on real estate taxes from an increase in fiscal valuations, to the point of committing to the IMF to accelerate revaluations at the federal level. The problem of advancing in this scheme is another.
As these are taxes applied in the provinces at the regional level and not a national tribute, there should be agreements with the governors to advance this policy, since it is the provincial administrations that will have to advance the project so that they can see the reality.
Beyond the Ministry of Economy, they know from the Casa Rosada that the political possibilities of pressure from the national government on the regional chiefs to increase tax pressure is minimal. Not to say zero. Curiosity could have been generated, if there was eventual support from the governorships managed by the national ruling party but not from the opposition, that the provinces close to Alberto Fernández increased the real estate tax so that the Nation generates extra income, but not those of the village contrary. For example, Buenos Aires, Santa Cruz, Santa Fe and Entre Ríos would increase the tribute, and Capital Federal, Mendoza and Córdoba; something that will obviously be difficult to apply. In fact, the Government of the Autonomous City of Buenos Aires has already announced that it would not accompany an advance of this type, a position that was confirmed in the last agreement.
Source: Ambito
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