Argentina Approves Tax Amnesty

June 30, 2016 Taxation in Argentina

BUENOS AIRES – The government of Argentina hopes that a newly approved tax amnesty will help pay for years of unpaid pension payments.

In a vote held on June 29th the Senate of Argentina approved a new temporary tax amnesty programme aimed at boosting tax revenues and to repay owing debts to pensioners.

The tax amnesty will allow taxpayers in Argentina to declare their previously hidden assets and funds, in exchange for lowered penalties and fees.

In order to participate in the programme, taxpayers will not only need to declare their assets, but also either make a cash payment to the government or buy bonds or make an investment which would benefit the country over the long-term.

It is expected that the declared assets will be taxed at a rate of up to 15 percent.

The funds raised from the amnesty program will be used to repay unpaid debts owed by the government to pensioners.

Explaining the importance of repaying the retirees, the President of Argentina Mauricio Macri has previously said “we’re seeking to repair years of injustice because we’ve found lots of situations where pensioners have made legal claims, won judgements and yet the state persists in seeking any trick to avoid paying.”

Photo By: Esteban Maringolo