Tax collection increased 115.1% in 2023, below inflation: how much did each tax contribute

The tax collection from Argentina increased by 115.1% in 2023 Over the previous year, reached $42,981,822 million ($43 billion) and registered a year-on-year increase of 156.7% in December, the Ministry of Economy reported in its monthly report. Thus, the Fiscal outlays reached $5.92 billion in the last month of the year, with an interannual variation of 156.7%. This is a low level of growth in both cases if the evolution of inflation throughout the year is taken into account, which could reach close to 200% in December.

In the year, the Net Value Added Tax (VAT) collected $14,791,510 million in the year and, in December, it accumulated $2.8 trillion, with a year-on-year variation of 214%, while it increased 190.6% in the month and Customs 257.2%. The extension of the tax expiration for the fiscal period accrued in November, established for self-employed workers and for subjects adhered to the “Price Agreement for the local market,” had a negative impact.

Taxes: how much was collected by Profits

He Income Tax presented a positive interannual variation of 86.1%, collecting $1.05 trillion and it was indicated that the increase in the minimum from which employees in a dependency relationship pay Income Tax and the modification of the scheme negatively affected the interannual variation. for the months of October to December for those who continue to be reached.

During December 2023, interannual variations linked to the receipt of extraordinary payments on account arranged by the Federal Public Revenue Administration (AFIP) to various sectors of the economy.

Meanwhile, throughout the year, the Income Tax presented a variation of 86.3% and totaled $8,782,659 million. The variation was attenuated by the incorporation of the progressive rate scheme (from 25% to 35%) which raised the effective rate as of the fiscal years beginning on January 1, 2021 and generated an increase in the balance of the sworn declaration entered in May 2022, given that the advances computed on account of the sworn declaration for the 2021 fiscal period were calculated with the 30% rate that previously applied.

They also negatively impacted the increase in August 2023 of the progressive scale applicable for remunerations corresponding to the fiscal period 2023; the increase in the minimum from which workers in a dependency relationship pay Income Tax (as of October accrued for subjects with a gross monthly remuneration of less than $1,980,000) and the modification of the scheme for the months of October to December for those who continue to be reached.

Debits and credits

In the Tax on Debits and Credits, $427,270 million were reached, with a year-on-year increase of 170.2% in the month of December, while it totaled $3,146,166 million in the year, with a year-on-year increase of 134.2%. %.

Social Security

The income from Social Security They increased 149% and reached $1.1 trillion. The increase in collection is mainly due to the increase in:

• the average gross remuneration; and
• Job positions.

Toned down the positive variation the extension of the period accrued in November 2023, regarding the payment of Contributions intended for the subjects adhered to the “Price Agreement for the local market”.

In the year, the Social Security income increased 123.8%, reaching $9,286,489 million (almost $10 billion). And the increase in collection is mainly due to the increase in average gross remuneration and jobs. While The increase in the interannual variation was mitigated by the extension of contributions established for the subjects adhered to the “Price Agreement for the local market”, for the fiscal periods accrued August to November 2023, and the benefit of calculation on account of the payment of the Contributions of the sums paid by micro and small businesses in concept of the non-remunerative assignment.

Export and import duties

In Export Rights were obtained $ 412,893 million and an interannual variation of 88.7% in December. They influenced this dynamic:

• The increase in the comparison base due to the implementation of the Export Increase Program 2, which caused the collection of duties for December 2022 to be high compared to that of 2023;
• The effect of drought;
• The decrease in the average prices of most products of the soybean and cereal complexes;
• One business day less compared to the previous year.

In Import Duties and others, $182,889 million were obtained and a variation of 172.8%. This responds to the increase in the exchange rate, while the variation attenuated by one less business day compared to the previous year.

Throughout the year, meanwhile, Import duties and others were reported at $1,343,737 million, with a variation of 110.2%. The increase in the exchange rate had a favorable impact.

Personal property

In Personal Assets reached $150,917 million, with a year-on-year variation of 163.8%. Throughout 2023, the total was $987,942 million, with an increase of 134.1% compared to 2022. The expansion of the tax base of the additional 25% rate applied to the purchase of foreign currency for hoarding and on trips and expenses abroad. In the previous year, this additional rate was in force but it only applied to trips and expenses greater than $300 (known as the Qatari Dollar). and it was not applied for hoarding.

COUNTRY Tax

In COUNTRY Solidarity Tax $311,708 million were raised with a variation of 861.4% in the last month. Throughout 2023, it totaled $1.5 trillion, with a variation of 335.5%. These data were favored by the increase in the exchange rate and by expanding its tax base with the income of the payment applied for certain imports.