This suspension of the Buy without VAT Program represents an additional challenge for citizens at a time of economic difficulties, leaving many without this much-needed financial relief in a context of rising prices.
December 31 marked the end of the expected Buy program without VAT, an initiative that during its validity benefited millions of Argentines, giving them the opportunity to receive a refund of this tax on purchases of essential products. However, in a context of growing inflation, the decision of the Government led by Javier Milei Failure to renew this program represents a hard blow to the workers’ pockets, although they had promised lower taxes.
Launched in September by the then Minister of Economy, Sergio Massa, the program had a deadline until the last day of 2023. The Frente de Todos even presented a bill to establish this measure permanently. Despite having obtained partial approval in the Chamber of Deputies in October and the support of Milei himself, the change of government has reduced expectations that this project will advance in the Senate.
The recent Decree of Necessity and Urgency (DNU) signed by Milei omits any reference to the Buy without VAT program, and government sources rule out its continuity. Since this Monday, thus, millions of Argentines have lost the benefit of receiving lVAT refund when making your purchases.
Goodbye “Buy Without VAT”
This program, which has not yet been extended, involved a refund of 21% of the value of food, drinks, cleaning products, personal hygiene items and home care products when using debit cards.
The scope of this benefit was extensive, reaching more than 18 million people, including formal employees with salaries of up to $708,000, beneficiaries of the Universal Child Allowance (AUH), monotributistas, domestic employees, informal workers, retirees and pensioners.
The maximum return limit was set at $18,800 and The corresponding refund was automatically credited to the bank account associated with the card used for the purchase, within a period of up to 48 hours after the transaction.
This suspension of Buy program without VAT represents an additional challenge for citizens at a time of economic difficulties, leaving many without this much-needed financial relief in a context of rising prices.
Source: Ambito
