Tips can be left with a credit card, debit card or any digital payment method. In addition, the measure will not generate any tax obligation for merchants nor will it be considered part of the employment relationship,
The Government made official via Decree the implementation of the system of digital tips for several sectors of the economy. The measure seeks to address several problems, including the decline of cash, the inefficiency of the current system, the modernization of payment systems and seeks fair compensation for workers, as published in the Official Gazette.
Through the Decree 731/2024 It was established that businesses must have the elements necessary for consumers to have these alternatives when tippingIt should be noted that the measure was developed jointly by the Ministry of Deregulation and State Transformation, the Ministry of Economy, the Secretariat of Labor of the Ministry of Human Capital and the Central Bank.
Details of the standard
The change will take effect in 90 days from this Wednesday, August 14 and “It will benefit workers in the gastronomy, tourism, fuel distribution and delivery activities sectors, although it is expected that other sectors will be added in the future.“, the official text states.
“In most countries of the world this practice is common, but in Argentina, in fact, it was prohibited because the employment contract law considered tips as remuneration. Therefore, electronic payment raised costs for the employer and led to there being no incentives for it to be done electronically,” the communication states.
He added that the issue has worsened over time, as the increasing use of electronic money has reduced the amount paid in tips.
Tips must be transferred directly to workers or to an account designated for their benefit, without any fees or deductions from intermediaries. The digital tipping system will have to be compatible with various payment platforms and transfers to workers must be made within 24 hours. Workers will also be allowed to distribute tips among themselves and the Central Bank will monitor compliance with the decree, with penalties for violations.
How it will work
The tip money It may go directly to an account of the worker involved or be credited to a business account.separate from the usual one, to be transferred to workers within 24 hours, digitally or physically, without discounts or deductions.
Following this decision, payment collection service companies will have to provide businesses with the option of receiving payment with a tip so that consumers can add an amount to their bill. Consumers will be able to scan any QR code and pay with the debit card, credit card or virtual wallet of their choice.
The measure will not generate any tax obligation for merchants nor will it be considered part of the employment relationship: businesses, debit and credit cards and electronic means of payment They may not make any withholdings or collections of any kind on tips.
“The objective of the President Javier Milei is that more than a million workers in these sectors benefit from the effort of their work, without inconveniences or bureaucratic, tax or labor obstacles,” the official text states.
“With this proposal, everyone wins: workers, because they will be guaranteed a higher volume of tips, employers, because they will not face any additional costs, and customers, because they will be able to operate under conditions equivalent to those in a developed country,” he concludes.
Source: Ambito
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