The project presented today by the Government proposes creating a new regime to encourage investments in some sectors.
He Government of Javier Milei proposed the creation of a Incentive Regime for Large Investments (RIGI) in the project of “Omnibus” law sent to Congress. What are the most important points and who can adhere.
In principle, it specifies that it will apply to the entire territory and is declared to the “Big Investments” of national interest. They are defined as those projects that involve the acquisition, production, construction and/or development of assets that will be affected by activities and will be long term.
These “Large Investments” must have a minimum investment amount -which will depend on each sector- and will include those companies that seek to invest in infrastructure and technology. These will have tax and customs benefits – flexibility in imports.
RIGI: what are the objectives
- Encourage large national and foreign investments “in order to guarantee the prosperity of the country”
- Promote economic development
- Develop and strengthen the competitiveness of the various economic sectors.
- Increase exports of merchandise and services abroad
- Promote job creation
- Generate conditions of predictability and stability for large investments.
- Create for large investments that meet the requirements of the RIGI a regime that provides “certainty, legal security and special protection in the event of possible deviations and/or non-compliance by the public administration and the State.”
The deadline to join the RIGI is 2 years from the entry into force of the reforms. The executive branch may extend the term to benefit from the RIGI for a period of up to 2 years only once.
- Single project vehicles (VPU) must only have the sole and exclusive purpose of carrying out a single investment project admitted to RIGI.
RIGI: What are VPUs?
- Anonymous Societies
- Branches established by companies incorporated abroad.
- Transitional unions and other associative contracts.
- Dedicated branches.
RIGI: excluded subjects
Those who are in the following situations will not be able to authorize their inclusion in the RIGI:
- Convicted, with a final sentence, of any type of crime or whose partners or shareholders are in said situation.
- Declared bankrupt.
- Those who register firm, enforceable and unpaid debts of a tax or pension nature.
- Legal entities in which their partners, administrators, directors, legal representatives, trustees, members of the supervisory board, or those who hold equivalent positions have been convicted with a final sentence in criminal cases initiated by the AFIP.
Source: Ambito
