“It represents an important step in the right direction to promote private activity relieve the businesses of the advances of said taxes in all collections by electronic means, whether with debit or credit card, QR, etc., discouraging the use of cash and making the payment system more efficient,” he said.
He also asked the City of Buenos Aires and the provinces to join this initiative, given that “it will contribute to the formalization of operations, facilitate financial inclusion and drive economic activity.”
Banks celebrated the reduction of the tax burden with the elimination of withholdings on account of VAT and Profits
The Association considered that this is a a measure “that we always demanded” but that “was never adopted because tax collection was prioritized”in reference to what happened during previous governments.
Claudio Cesario, president of the banking entity, assured that from now on, “the Small merchants will have less incentive to favor cash against payment by electronic means and They will be able to save the cost of administration and management of tickets“.
In this sense, the Association highlights the importance of the evolution of digital payment methods in the long term as a central tool for Reduction of “Argentine cost” and increased transparency in commercial activity. Beyond the immediate benefits, the incorporation of technology into the daily lives of citizens will result in greater freedom of choice and will promote competition in the supply of products.
They also stressed the need for provincial administrations and the City of Buenos Aires to “take measures consistent with those of the national administration, so that taxes such as Gross Income Tax reduce their distorting impact on commercial and financial activity.” “Lower taxes are key to sustainable economic growth,” ABA said.
The Government eliminated the withholding tax on VAT and profits from sales for businesses
This Tuesday, the Ministry of Economy that leads Luis Caputo He announced that in the Fiscal Package Regulation The benefits to the private sector included in the norm were extended and defined “that There will be no more withholdings on account of Profits and VAT from businesses in sales with debit, credit, purchase and similar cards, the groupers, aggregators and other electronic payment method processors.”
“The measure represents a huge benefit to the formal private sector that invests and bets on the growth of the Argentine economy. The measure will allow for the promotion of the formalization of transactions, financial inclusion and the reduction of the costs of payment systems,” the statement said.
The economy also maintains that “it also allows advance the National Government’s objectives of promoting activity economic and promote the use of payment methods that provide greater transparency and formality to the economy.”
Source: Ambito
