Sounds like prostitution is perfectly legal in Argentina. I guess she could have declared the income if she wanted by escorting or being a travel companion but I am guessing she didn't declare any of that income.
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AFIP Tax Amnesty
- Thread starter Digital Nomad
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- afip blanqueo tax amnesty
Vince
Well-known member
Yes prostitution is legal in Argentina. In fact, you can see her lawyer tried to argue using statutes about prostitution for the income. She didn't declare this income. If this amnesty didn't come into play they would have seized much of it. Good timing for her. She will have to pay some taxes but not much. Probably only 5% on the amount over $100k.
Jeep
Active member
It's legal as long as there aren't any pimps involved. You can tell how bad the economy is. Just go to a website like ArgentinaXP or SoloIndependientes and the number of females grows each day.
Betsy Ross
Well-known member
Wow the blanqueo came at a good time for her!Sure, of course the government can threaten jail time but that isn't common. Here is a good example. Take a look at this model/escort. She got caught in a scandal and got caught with $570,000 US Dollars in her apartment. This is just one girl/escort.
Her money was seized several months ago. She didn't go to jail. Nothing happened to her. And now her lawyer has argued that her money be laundered under this tax amnesty program. It's a good example and gives you good insights about this money laundering program. It also is an eye opener when you hear a staggering figure that $400 BILLION is hidden under the mattress of Argentines. This is just one model/escort that had almost $600,000 in her apartment.
Previous to this, she couldn't do anything with this money. She couldn't buy a car, couldn't buy a property because the funds were justified or declared. But now her money will get laundered and most likely she will be buying an expensive property in Puerto Madero or a few apartments in Palermo with these funds. This is essentially what happens during these amnesties.
La Justicia le devuelve a Sofia Clerici los casi 600 mil dólares que le secuestraron por el Yategate para que pueda entrar al blanqueo de capitales
La modelo argumentó que necesitaba ese dinero para poder entrar en la Ley de blanqueo de capitales, que vence este viernes.Según explico en Tribunales, esa plata la ganó trabajando como "acompañante en viajes", una actividad no regulada. El Juez aceptó su pedido.www.clarin.com
This was all the cash that was found in her apartment. Take this and it's happening with many, many Argentines. Maybe not as much as her but it gives you an idea how the country operates.
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Uncle Wong
Well-known member
Do any of you know anyone that laundered cash under the last amnesty? I'm curious if they encountered any problems or legal actions in subsequent years?
Mother Russia Argentina
Active member
Yes I talked to some people that brought cash with Macri amnesty. They did not have any problems but they told me that they have to justify their spending for purchases they make. AFIP look at all the charges you make and activity in your bank account. That is why many still pay with cash here so they don't have to justify income. Even Mercado Libre purchases are looked at.
But an accountant told me this is a good way for Russians to also bring their money in that have a new DNI. And it is per person so a good opportunity. Locals warn me a good idea to pull the cash out of account as soon as possible because there was bank run before and could happen again.
Finance Prof
Well-known member
I am curious how much of the billions that people have deposited have already left the banking system? I wonder if people will keep the funds in the bank or just pull it out again?
BuySellBA
Administrator
We know many locals that brought in cash under the last amnesty under Macri. A tremendous amount of cash came into Argentina and especially assets declared around the world.
Argentina rakes in cash from new tax law
Argentina's outgoing finance minister declared the country's new tax amnesty law an "extraordinary success" after $90 billion of assets were declared.
money.cnn.com
We have not heard of anyone that was prosecuted at all but your odds of getting audited are much higher after you take advantage of these programs. Hopefully with President Milei this is not the case but many that take advantage of it have increased scrutiny.
We posted about this on X yesterday.
As of October 17, about $700 million has been withdrawn from the banks. It's not a big percentage out of the billions that came in. Much of that is being used to purchase real estate. Keep an eye on the amount by the end of this year.
earlyretirement
Moderator
I posted about this yesterday.
Correct. You can see this article about it. I'm guessing that as we move towards the end of the year and into next year a big chunk of this will be pulled out to purchase real estate.
Sólo el 6% de los dólares que entraron por el blanqueo se fueron y en los bancos esperan un boom de créditos
De los US$ 13.000 millones que ingresaron, se fueron (con datos al 17 de este mes) tan solo US$ 700 millones. Esto quiere decir que solo el 6% de lo ingresado terminó yéndose.
eleconomista.com.ar
Blockchain
Well-known member
If the IRS ever did something like this people wouldn't fall for it. They know it was be some trap to catch people. Crazy that locals trust the government.
The Government announced that the first stage of the money laundering will be extended until Friday, November 8. It was so positive that they have extended it.
www.infobae.com
El Gobierno anunció que se extenderá la primera etapa del blanqueo hasta el viernes 8 de noviembre
El ministro de Economía Luis Caputo aseguró se prorrogará que “debido a algunos problemas informáticos y administrativos”. La regularización de efectivo sumó USD 18.000 millones y dejó en récord a los depósitos en dólares
www.infobae.com
Vince
Well-known member
There is so much cash rolling in. $18 Billion and counting. Very successful. I wouldn't be surprised if they extend it until the end of the year.The Government announced that the first stage of the money laundering will be extended until Friday, November 8. It was so positive that they have extended it.
El Gobierno anunció que se extenderá la primera etapa del blanqueo hasta el viernes 8 de noviembre
El ministro de Economía Luis Caputo aseguró se prorrogará que “debido a algunos problemas informáticos y administrativos”. La regularización de efectivo sumó USD 18.000 millones y dejó en récord a los depósitos en dólares
BuySellBA
Administrator
The tax amnesty that @BuySellBA predicted last year before President Milei took office played out exactly as we forecasted in our modeling. It was a huge success!
Betsy Ross
Well-known member
It is great to see so many people bringing back cash into Argentina. The same thing happened with Macri but this time feels different to me.
earlyretirement
Moderator
The tax amnesty was a big success.
The final numbers from the first stage of thetax amnesty (blanqueo) in Argentina have been released.
-$20.631 Billion in cash from 330,793 accounts.
-$2.690 Billion in other Assets declared from 138,432 people
-$14.810 declared in real estate from inside and outside Argentina
-$30 Million in crypto currencies
-6,491 accounts declared from USA, Uruguay, Spain and Switzerland & other countries.
The final numbers from the first stage of thetax amnesty (blanqueo) in Argentina have been released.
-$20.631 Billion in cash from 330,793 accounts.
-$2.690 Billion in other Assets declared from 138,432 people
-$14.810 declared in real estate from inside and outside Argentina
-$30 Million in crypto currencies
-6,491 accounts declared from USA, Uruguay, Spain and Switzerland & other countries.
Digital Nomad
Well-known member
I'm surprised that people declared their crypto. I wonder how much out of these billions were people that cashed in their bitcoin and then took the cash and deposited?
Surprisingly still not too many locals that I talk to are in crypto. Some of the young but many older don't trust it. I finally jumped in last year and glad I did.
Blockchain
Well-known member
It seems it was successful. If they open it up and it's unlimited it seems like it would be a no brainer for people to move all of their cash back in. Economy would probably sky rocket. But then why would anyone bother to pay taxes again if they know the government incentivizes people to evade taxes? I read the government did this several times already so it seems like there is no incentive to pay taxes at all.
Betsy Ross
Well-known member
That is the argument against these tax amnesties. It will just prevent people from wanting to pay taxes because they know they will be forgiven later. At this point they might as well just do an unlimited tax amnesty. Argentines have more cash hidden than anyone in the world.
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