With the announcement of the Buenos Aires head of government, Horacio Rodriguez Larretait is planned to take the Legislature a project to repeal the law that enables the collection of a tax on credit cards. The same applies to the City since the end of 2020.
now it was larreta who made his promise to remove the collection of that tax if the Supreme Court it restored to the City the co-participation funds that had been taken from it to refer it to the Province.
Credit card tax: what it is and why it is paid
The credit card tax was implemented in September 2020, when the national government withdrew co-participating funds from the City to deliver them to the Province, in the midst of a crisis over the salaries of the Buenos Aires Police.
that tax 1.2% applies to operations carried out with “plastic” within the territory of the city of Buenos Aires. At the end of 2022, a session had been called in the Buenos Aires Legislature to eliminate it, but it was lifted after the outbreak of the Lago Escondido scandal.
This Tuesday, at a press conference from the Barracas neighborhood, Larreta ratified the decision. “I had promised to remove the tax on credit cards, I said it was a temporary tax. Many taxes remain forever, not this one, I comply with it,” he assured.
How much is it and how much would you stop paying
With this decision, the Buenos Aires Government intends to eliminate through the Buenos Aires Legislature the 1.2% tax on purchasestogether with the 8% increase in the rate on Gross Income for financial entities, which will be reduced to 2.85%.
Since 2021, CABA bank credit card users see an item in the summary where the Stamp Tax is added.
That is, when they are going to cancel the amount that arises from their consumption in pesos or foreign currency, instead of having to pay only what corresponds to the fees for the acquisition of goods or services for which they decide to use the credit card (which we can call “tax base” or “taxed subtotal”)see the incidence of this tax of 1.2% on that subtotal.
Source: Ambito
