Prices in dollars: what should be taken into account when paying in foreign currency

While the Government accelerates the interchangeable use between pesos and dollars, there are still some pending points to resolve. Some that have to do with multiple markets where people can access foreign currency and others that arise from the implementation schedule of the dollar billing system.

The first doubt that emerges for merchants It is at what exchange rate they are going to show the prices in their windows. They could be based on the blue, the MEP or the official one. Consumers are going to have to Look carefully at what price your dollars are going to take.

Supposing that a merchant decides to sell tourists a product au$s4 and also shows the value in pesos, if it is quoted at blue it would be worth about $4,810 at the buying exchange rate of Thursday, January 16. If you adjust for that day’s MEP, then the price could be $4,664. In another example, a business sets its price at $10,000. If you show it at the blue buyer exchange rate, the value would be US$8.26, but if you do it at the MEP it could be US$8.57.

Invoicing with dollars at the official exchange rate

The point is that the dollar billing rules that were published a couple of weeks ago indicate that, when the trader has to settle the VAT on these operations, You have to convert them into pesos and, to do so, you have to take the type of selling exchange rate of Banco Nación (BNA) from the previous day.

So, in a product of US$4 invoiced in that currency, its equivalent at the BNA exchange rate would be $4,248. The difference with the Price adjusted to blue is $562. In order not to lose pesos, the merchant would be conditioned to raise the price in dollars.

In the case of product of $10,000, if you show it at the BNA exchange rate, the price would be US$9.4that is, it would have to raise the price by US$1.14 compared to the value of blue, to obtain the same pesos.

When will it be appropriate to pay with dollars?

From the merchant’s point of view, The lower the quote you use, the more expensive the dollar value will be. Probably try to “pay less” per dollar. From the consumer’s point of view, it is the other way around. He will try to get the merchant to quote his dollars better to spend less greenbacks.

Tax official Sebastián Domínguez explained to Ámbito that, “if someone sells something in pesos for $1,170,000, but the client wants to pay in MEP dollars, it is $1,000.” “So, people who are willing to pay that amount of pesos are going to want them to take the dollar at $1,170, they are not going to give it to the officer,” said the specialist, who considered that in that context “it is likely that two price lists.

An element to take into account is that from the April 1, all businesses will have to separate the price of the goods they sell from taxes on their invoices. That too It will fit invoices issued in dollars. So taxes paid in dollars will appear, especially VAT. However, the merchant will have to pay the tax charges in pesos because the national currency is the only one of mandatory tender. The quote that you will use to pay taxes will be the BNA seller’s quote from the previous day.

In that way, if by consensus between a merchant and a client it is adopted that the exchange rate to be used is the bluethe seller It will not invoice in dollars and will do so in pesos even if you receive foreign currency, because, otherwise, You would lose money by “buying” more expensive dollars and “selling” them cheaper at the time of settling the VAT.

Show prices in dollars

It is to be remembered that The Government published in the Official Gazette the resolution that authorizes businesses to display prices in pesos and dollars. It also established that, as of February 1, companies that provide services to process payments and collections with cards and platforms adapt the system to dollars. Likewise, the Central Bank (BCRA) authorized banks to link debit cards to dollar accounts.

But it must be taken into account that, In accordance with the official schedule for the implementation of invoices in dollars, since January 15, the system for the “Online Receipts” system of the Customs Collection and Control Agency (ARCA) has been enabled. The web services systems have to do so from April 15 and the Mobile Biller and ARCA Biller services from March 1.