What would the scales and quotas look like with the changes proposed by the fiscal package?

The fiscal project presented by the Government to legislators and governors contemplates a series of modifications in the Monotributo regime and in the Personal Property Tax, which require consensus with the opposition to advance in Congress.

The initiative, called the Law of Palliative and Relevant Fiscal Measures, consists of 101 articles and highlights proposals such as money launderinga moratorium and new non-taxable minimums in Income Tax.

Monotax: how much would have to be paid in 2024?

Regarding the Monotribute, a updating billing and quota caps, with increases of between 300 and 330 percent. The annual income cap would be $68 million for commercial and service activities, with increases across the scale and amounts payable.

If the project is approved, monotributistas in category A will be able to invoice up to $6,450,000 annually, while those in category K, the highest, will be able to reach up to $68 million.

Salvador Vitelli, head of Research at Romano Group, pointed out that adjusted for inflation, the new billing scales return to values ​​from July 2013 for services and January 2018 for goods, representing real improvements of 300% and 185% respectively. This is because it would not be differentiated by activity.

The project also includes a increase in the monthly amounts paid by monotributistas in concept of the integrated tax, retirement contributions and social worksetting the unit billing price at $385,000 for both services and products, with an annual update for inflation.

AFIP

What is the Monotax?

The Monotributo, a simplified regime for small taxpayers, unifies the payment of VAT and Profits with retirement contributions and social work, and was created in 1998 by Law 24,977.

Taxpayers are placed in categories identified with letters from A (lowest income) to L (highest income), determined annually according to gross income, affected area and electricity consumption.

Regarding the Income Tax for employees, the project seeks to balance public accounts and establish equality of conditions between taxpayers. In the case of Personal Assets, advance payment of five years is proposed with an annual rate of 0.45% and the elimination of the rate differential between assets in the country and abroad, establishing a scale of 0.50 to 1 ,50 percent.