In the case of national manufacturing, it is 40% of the Income Tax. For the R&D item (research and development), 80% of the amount of the investments made in R&D for up to 2.5% of the turnover from the sale of manufactured goods. For those companies that export, 60% of export refunds are offered. For continuous improvement and quality: 30% of the amount and 15% for Non-SMEs
According to what was stipulated to access the benefits of this regime, at least 70% of the total invoicing of the last twelve months must correspond to the sale of industrial goods manufactured in Argentine territory, which includes both supplies and design services, engineering, installation and assembly. This percentage of 70% may be increased or reduced by ten points if the national government so decides.
In this context, Eduardo Borri, president of the Argentine Chamber of Agricultural Machinery Manufacturers (CAFMA), explained in a dialogue with Ámbito: “The update is something positive for national agricultural machinery manufacturers, because it promotes the sector’s exports through a In the previous regime, there were machines that were imported and sold in the country, despite which they received an incentive. What CAFMA always stated was that in order to have a benefit in Argentina, it must be manufactured locally “This update goes online and complements what CAFMA has been asking for: the National Agricultural Machinery Law. Its objective is that the financing of official entities be granted to locally manufactured equipment.”
For a long time, the sector has precisely requested the implementation of a National Agricultural Machinery Law, a sector that in recent years managed not only to come out of a deep crisis but also to grow hand in hand with the high international prices of commodities and the financing lines offered by banks and the companies themselves. The Government also seeks that with these incentives national production, exports and import substitution grow in a context in which the shortage of dollars is a constant.
According to the Association of Automobile Dealers of the Argentine Republic (Acara), in the first nine months of the year, agricultural machinery kickbacks grew 19% compared to the same period of the previous year. The data to take into account is that in September the index was negative and that is why the Government seeks that companies do not lose their growth path in 2023, where a considerable drop in commodity prices is also expected.
Source: Ambito
David William is a talented author who has made a name for himself in the world of writing. He is a professional author who writes on a wide range of topics, from general interest to opinion news. David is currently working as a writer at 24 hours worlds where he brings his unique perspective and in-depth research to his articles, making them both informative and engaging.
