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Donations: why it is advisable to launder the dollars that a person received up until December of last year - La Nacion Propiedades
Source:
www.lanacion.com.ar
October 03, 2024
With proper planning, this option can be an opportunity to acquire property with donated dollars.
By Candle Contreras
Money laundering allows cash to be regularized only until the end of the first stage, that is, October 31, 2024 Shutterstock
2024 brought with it new opportunities for those seeking to regularize undeclared funds following the officialization of the Asset Regulation Regime , commonly known as money laundering . This provides the possibility of formalizing cash that, until now, “was under the mattress” and that could have been received through a donation.
This benefit proposed by the Federal Public Revenue Administration (AFIP) allows the regularization of assets - which are outside the financial system - of up to US$100,000 without paying taxes and if larger amounts are laundered , rates are paid depending on the time at which they enter the system: 5% until October 31 (new extended date); 10% until January 31, 2025 (the second stage that expired on December 31, 2024 was extended); 15% until April 30, 2025 (the third stage, which was until March 31, 2025, was also extended).
It should be noted that cash must be regularized through a Special Asset Regulation Account (CERA) only within the first stage, that is, until October 31, 2024, then it cannot be laundered . This possibility can be particularly beneficial for those who received money through a donation and want to buy a property, as long as that money has been inherited before December 31, 2023 (date up to which the assets that can be declared in the laundering are taken).
So the question that arises is: is it appropriate to launder in the context of donations ?
One of the most common scenarios is when parents decide to donate money to their children as an early inheritance so that, for example, they can buy a property . In this case, there are two options:
In both cases, “ once the money is laundered, the children's assets increase , which can generate tax obligations, such as the payment of Personal Property Tax , if the amount exceeds the non-taxable minimum of $100 million ,” explains Sebastián Domínguez, accountant and CEO of SDC Tax Advisors, adding: “However, the donation itself does not generate profits, since it is not taxed .”
The tax specialist explains that one of the most common scenarios is when parents decide to donate money to their children as an early inheritance so that, for example, they can buy a property.Shutterstock
“When adhering to the Asset Regulation Regime with money received from a donation, it must be taken into account that banks can report to the Financial Information Unit (UIF) if they suspect the origin of the funds , especially when the beneficiaries are people who do not have economic activity that justifies the possession of large sums,” Domínguez clarifies. According to the accountant: “What is being investigated is whether the laundering conceals a money laundering operation ; if this is not the case, there should be no problems.”
For amounts up to US$100,000 , there is no cost for laundering . If these amounts are exceeded, an alternative is to divide the money among several children, provided that it can be proven that they received the funds before December 31, 2023. This allows each child to launder up to the maximum allowed without paying the corresponding rates.
For those with larger sums , a viable option is to invest in one of the investments authorized by the Ministry of Economy , such as, for example, in properties under construction that are registered in the Registry of Real Estate Projects (REPI) of AFIP and have up to 50% progress of work, which exempts them from paying taxes in the money laundering process.
Money laundering for purchases in the pipeline includes both new projects and those with a degree of progress of less than 50% at the time of the entry into force of the law.Shutterstock
Another option is to keep it in the financial system until December 2025. “Leaving the money in the account without moving it is not the best alternative, because, for example, properties are expected to rise in price due to high demand (due to mortgage loans, a square meter value below the historical minimum and the option of buying with laundered money),” says Domínguez.
Leaving money idle is therefore not advisable because it can end up losing value due to inflation . “In any case, it must be invested in some instrument that generates some type of return, such as mutual funds, government securities, stocks or bonds,” concludes the accountant.
www.buysellba.com
Source:
Donaciones: por qué conviene blanquear los dólares que una persona recibió hasta diciembre del año pasado
Con la planificación adecuada, esta opción puede ser una oportunidad para adquirir una propiedad con dólares donados
www.lanacion.com.ar
October 03, 2024
With proper planning, this option can be an opportunity to acquire property with donated dollars.
By Candle Contreras
Money laundering allows cash to be regularized only until the end of the first stage, that is, October 31, 2024 Shutterstock
2024 brought with it new opportunities for those seeking to regularize undeclared funds following the officialization of the Asset Regulation Regime , commonly known as money laundering . This provides the possibility of formalizing cash that, until now, “was under the mattress” and that could have been received through a donation.
This benefit proposed by the Federal Public Revenue Administration (AFIP) allows the regularization of assets - which are outside the financial system - of up to US$100,000 without paying taxes and if larger amounts are laundered , rates are paid depending on the time at which they enter the system: 5% until October 31 (new extended date); 10% until January 31, 2025 (the second stage that expired on December 31, 2024 was extended); 15% until April 30, 2025 (the third stage, which was until March 31, 2025, was also extended).
It should be noted that cash must be regularized through a Special Asset Regulation Account (CERA) only within the first stage, that is, until October 31, 2024, then it cannot be laundered . This possibility can be particularly beneficial for those who received money through a donation and want to buy a property, as long as that money has been inherited before December 31, 2023 (date up to which the assets that can be declared in the laundering are taken).
So the question that arises is: is it appropriate to launder in the context of donations ?
One of the most common scenarios is when parents decide to donate money to their children as an early inheritance so that, for example, they can buy a property . In this case, there are two options:
- If it was not done before the end of last year, the father must launder the money directly before transferring it.
- If you donated it before that date, the children must be the ones to declare it at this stage of the money laundering process.
In both cases, “ once the money is laundered, the children's assets increase , which can generate tax obligations, such as the payment of Personal Property Tax , if the amount exceeds the non-taxable minimum of $100 million ,” explains Sebastián Domínguez, accountant and CEO of SDC Tax Advisors, adding: “However, the donation itself does not generate profits, since it is not taxed .”
The tax specialist explains that one of the most common scenarios is when parents decide to donate money to their children as an early inheritance so that, for example, they can buy a property.Shutterstock
What should be taken into account when laundering money from a donation?
If a donation of money was made in the past, this is the opportunity to launder those funds . But for the donation to be formal, a private document must have been generated and the signatures certified by a notary, specifying the date of the donation. However, the inheritance itself does not automatically launder the money ; to make this possible, it must have been declared or be in a position to be regularized through the current laundering system.“When adhering to the Asset Regulation Regime with money received from a donation, it must be taken into account that banks can report to the Financial Information Unit (UIF) if they suspect the origin of the funds , especially when the beneficiaries are people who do not have economic activity that justifies the possession of large sums,” Domínguez clarifies. According to the accountant: “What is being investigated is whether the laundering conceals a money laundering operation ; if this is not the case, there should be no problems.”
For amounts up to US$100,000 , there is no cost for laundering . If these amounts are exceeded, an alternative is to divide the money among several children, provided that it can be proven that they received the funds before December 31, 2023. This allows each child to launder up to the maximum allowed without paying the corresponding rates.
For those with larger sums , a viable option is to invest in one of the investments authorized by the Ministry of Economy , such as, for example, in properties under construction that are registered in the Registry of Real Estate Projects (REPI) of AFIP and have up to 50% progress of work, which exempts them from paying taxes in the money laundering process.
Money laundering for purchases in the pipeline includes both new projects and those with a degree of progress of less than 50% at the time of the entry into force of the law.Shutterstock
Another option is to keep it in the financial system until December 2025. “Leaving the money in the account without moving it is not the best alternative, because, for example, properties are expected to rise in price due to high demand (due to mortgage loans, a square meter value below the historical minimum and the option of buying with laundered money),” says Domínguez.
Leaving money idle is therefore not advisable because it can end up losing value due to inflation . “In any case, it must be invested in some instrument that generates some type of return, such as mutual funds, government securities, stocks or bonds,” concludes the accountant.
www.buysellba.com
