Without further delay, the The government will try to implement most of the fiscal package this week which was approved a couple of weeks ago in Congress with the idea that it will begin to generate new tax revenue as soon as possible.
According to sources from the Federal Public Revenue Administration (AFIP), this Wednesday The organization led by Florencia Misrahi plans to put online on their website the applications so that tax advisors can begin to settle taxes.
These are the tax moratorium, the money laundering, the new scheme for the taxation of personal property and the Special Regime of Income on Personal Property (RIEB).
What AFIP reported
“AFIP is working as a team with other agencies (National Securities Commission and Central Bank) to implement this tax regularization measure, in order to issue general resolutions and make the corresponding applications available, starting next Wednesday, July 17,” it was reported.
Last Friday, Decree 608/2024 was published in the Official Gazette, regulating the tax changes and special plans approved by Law 27,743 on Fiscal and Palliative Measures.
The Government needs to launch the changes as soon as possible so that they start generating income to offset the drop in tax revenue that the treasury has been experiencing.
The Government needs to raise
In June, the amount produced by taxes with the previous tax configuration had a real year-on-year drop of just under 14%, discounting the effect of inflation. This is due, among other things, to the fact that the Fourth Category Income Tax has not yet been reinstated.
The estimate by economist Nadin Argañaráz, director of the Argentine Institute of Fiscal Analysis (IARAF), is that the fiscal package would be contributing 0.68 points of GDP per yearThis emerges from the 2025 budget progress report presented to Congress two weeks ago.
It says there that National tax pressure will fall from 21.6% of GDP to 21.16% next year. This indicates a drop of 0.45 points. As the Government points out, the PAIS tax will collect the equivalent of 1.13% of GDP this yearThe difference of 0.68 points is the estimate provided by the fiscal package.
Moratorium
In the case of the new debt regularization plan, the Government offered for those who pay in cash or up to 3 installments a reduction of compensatory and punitive interest of 70% in the first 30 days, 60% up to 60 days and 50% up to the first 90 days.
For those who opt for payment plans, when it comes to individuals, they must pay 20% of the debt and up to 60 monthly installments with the discount rate of Banco Nación.
SMEs and non-profit entities must pay 15% in advance and up to 84 installments; Medium-sized companies will have to pay 20% and can pay the rest in 48 installments, while large companies will have to pay 25% and up to 36 installments.
Whitening
In the case of those who decide to externalize undeclared money or property. When laundering up to US$100,000, the special tax will not be paid. Those who do so by September 30 will pay 5%, by November 30 10% and by January 30 15%.
Those who launder more than US$100,000 and want to avoid the tax will have to leave the money frozen in a special account until December 31, 2025. The plan has a “tax cap” of up to 9%. That is, those who laundered US$100,000 and then legalized US$9,000 will not lose any rights.
Personal property
The new non-taxable minimum went from $27.3 million to $100 million. The threshold for residential properties was raised from $136.8 million to $350 million. The rate was reduced from 1.75% – for property in the country – and from 2.25% – for property abroad – to a range of 0.5% to 1.5%, and the discrimination between both types of property was eliminated.
Personal Property in Advance
An advance payment may be made for assets that were already declared as unified, which will settle the tax for 2023, 2024, 2025, 2026 and 2027 at a preferential rate of 0.45%.
Source: Ambito
