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Foreign capital banks supported the Nation's lawsuit against tax increases in La Pampa - Infobae
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Los bancos de capital extranjero respaldaron la demanda del Nación contra los aumentos de impuestos en La Pampa
Las entidades bancarias manifestaron su inquietud por la reciente suba de Ingresos Brutos en La Pampa. Aseguran que la medida impactará en el financiamiento y el desarrollo económico, particularmente en las PyMEs
www.infobae.com
September 13, 2024
Banking entities expressed their concern about the recent increase in Gross Income in La Pampa. They assure that the measure will impact financing and economic development, particularly in SMEs.
Banco Nación sued the province of La Pampa for the increase in Gross Income
The Argentine Banking Association (ABA) , which groups together foreign-owned entities in the country, expressed its support for the lawsuit filed by the Banco de la Nación Argentina (BNA) against the province of La Pampa for the recent increase in the Gross Income Tax (IIBB) rate on financial transactions. The measure, which raised the rate from 7% to 15.47%, generated a strong reaction from the financial sector, which warns of the serious impact it will have on the local economy, especially on access to credit by small and medium-sized enterprises (SMEs) .
In a recently released statement, ABA expressed its “deep concern” about the tax increase decided by the province of La Pampa, warning that this type of decision “punishes users of financial services” and could have adverse effects on economic activity. “The increase of a highly distorting tax, from 7% to 15.47%, threatens the normal development of activity in the province and mainly punishes users of financial services who will see their credit lines become disproportionately more expensive ,” says the ABA statement.
The banks associated with ABA, many of which have operations in the province of La Pampa , joined the claim of Banco Nación and warned that this type of tax measures generate an increase in the fiscal pressure that directly impacts the financing capacity of companies, especially SMEs. In this sense, the statement emphasizes that "the increase in the tax pressure of the provincial administration makes access to reasonable and competitive financing impossible and will surely have a negative impact on the level of activity and the possibilities of economic development of companies . "
The most critical point, as expressed by ABA, is that this tax policy could encourage the growth of informal financial activity. “As an immediate consequence of the increase in Gross Income, the development of legal and formal financial activity in the province may be forced to reduce, which will increase illegal activity or activity not regulated by the BCRA ,” the entity warned, warning of the risks of users being forced to resort to less secure and more expensive financing alternatives.
Demand from the National Bank
ABA's support is added to the legal action that Banco Nación filed before the Supreme Court of Justice , in which it requested the declaration of unconstitutionality of the tax increase decreed by the government of La Pampa . The state financial entity considers that the 120% increase in the Gross Income rate severely affects the financing conditions in the province and puts at risk the continuity of credit lines essential for the development of local productive activity .
The Banco Nación lawsuit was filed after the provincial government enacted Decree No. 3609 , which formalizes the increase in the tax rate through Provincial Law No. 3582. The new tax scheme came into effect on September 1, 2024, and since then it has generated concern not only in the financial sector, but also in local productive sectors.
The president of Banco Nación , Daniel Tillard , spoke harshly about the measure, and did not rule out that the state bank could reduce its presence in the province. “The possibility of moving forward with the closure of the La Pampa Zonal Management is being analyzed ,” said Tillard, warning of the serious consequences that this tax increase will have on banking activity in the region. However, the executive clarified that the bank is looking for alternatives to mitigate the impact of the new tax scheme and maintain access to credit for SMEs and other key productive sectors.
In this context, Tillard pointed out that the measure adopted by La Pampa not only affects Banco Nación , but could also generate a “contagion effect” in other provinces, which would worsen the financial situation throughout the country. “The promise of zero inflation promoted by the government of our President Javier Milei is accompanied by the expansion of credit for SMEs and families ,” said Tillard, referring to the need to reduce the tax burden to promote economic growth.
