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Law Bases and tax package: How it impacts the taxes paid by those who have a property as an investment - La Nacion Propiedades
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Ley Bases y paquete fiscal: cómo impacta en los impuestos que paga quien tiene una propiedad como inversión
Diputados aprobó la Ley Bases y el paquete fiscal; los cambios que impactan en el mercado de los alquileres, al impuesto de Bienes Personales y la expectativa del blanqueo
www.lanacion.com.ar
June 29, 2024
The Chamber of Deputies approved the Ley Bases and the fiscal package; the changes that impact the rental market, the Personal Property Tax and the expectation of money laundering
By Candle Contreras
The Bases Law and the fiscal package were approved and the taxes that must be paid by those who own a property were changed
After more than 12 hours of debate, the Chamber of Deputies approved the Ley Bases and the package of fiscal reforms promoted by the ruling party early Friday morning .
The Ley Bases was approved with 147 votes in favor and 107 against , while the fiscal package was approved with 136 votes in favor, 116 against and 3 abstentions. But the reinstatement of the chapter on Personal Property was also voted on -one of the most discussed chapters, and which had been rejected by the Senate-: it was approved with 134 votes in favor, 118 against and 3 abstentions.
Bases Law and fiscal package: the impacts on the real estate market
1) In rentals
Among the changes discussed in the tax package, there is a benefit for self-employed individuals who are owners and offer their property for rent. Given that in the tax package the maximum billing for the self-employed tax rose to $68 million (annually) for the highest category, those who were previously outside the self-employed tax (since the rental billing caused them to exceed the limit) will be able to remain in the self-employed tax regime and have a lower cost than in the general regime.
If the owner is a self-employed taxpayer , the rent is exempt from VAT, regardless of the purpose given to it by the tenant. Whereas if the owner is a registered taxpayer, the rent is exempt from VAT if the property is used as a home for the tenant and his family (that is, the tenant uses the property to live with his family), but he must pay VAT if it does not fit into that situation. This means that if the apartment is rented to operate, for example, an office must pay that tax
The approval of the Bases Law and the fiscal package provided a benefit for monotributistas who have rental properties
2) In Personal Property
The approval of the Personal Property Tax modified the minimum non-taxable floor , which went from $27,377,408.28 to $100 million. This will cause fewer people to pay this tax . At the same time, the floor of this tax related to real estate used as housing was updated from $136,887,041.42 to $350 million , meaning that: those who have a home valued at up to $350 million will not pay for it.
In addition, the rate , which is applied once the non-taxable minimum (the tax table with the different scales) is exceeded, was reduced to 1.75% - for goods in the country - and 2.25% - for goods abroad - to a range that goes from 0.5% to 1.5% , and discrimination between both types of goods (in the country and abroad) was eliminated.
The reform also includes the possibility of making an advance payment of the tax (for assets that were already declared) in which a unified payment can be made that will settle the tax for five years (the periods 2023, 2024, 2025, 2026 and 2027). ) at a preferential rate (0.45%) and freezing their assets. In addition, it promises “fiscal stability” until 2038 .
The Bases Law was approved with 147 votes in favor and 107 against.
3) Money laundering
In this case, taxpayers who do not have their assets declared in the country will be able to launder up to US$100,000 without paying any fixed tax , and without any type of penalty for assets that have not been declared, until April 30, 2025, with the possibility of extending it until July 31, 2025. “People who have money under their mattress will be able to launder that capital and buy different assets, including real estate,” says Fabián Achával, CEO of the real estate company of the same name. For amounts that exceed US$100,000, the project proposes progressive rates of 5%, 10% and 15% , depending on the moment in which taxpayers join the regime.
All property , exceptionally, must be valued in US dollars . In the case of real estate, its acquisition value, its fiscal value or its minimum value (whichever is higher) must be considered. “Most properties will end up being valued at the minimum value, because the acquisition value was converted to pesos at a low exchange rate compared to the current one,” explains tax specialist Sebastián Domínguez.
In addition, three stages were designed to enter laundering , the sooner you enter the regime, the less tax you have to pay.
The new law allows those who exceed the amount of that figure to pay, in a first stage until September 30, a rate of 5% on the declared surplus . For example, if someone launders assets worth US$200,000, she must pay a US$5,000 penalty (5% of the US$100,000 that exceeds the maximum floor). While, in the second stage until December, the rate will be 10% , and in a third tranche during the first quarter of 2025, it will be 15% .
For their part, those who register for money laundering will have a 20% increase in the Personal Property Tax rate. With this modification, the rate would go from 0.5% to 0.6% .
Law Bases and fiscal package: the approval of laundering allows taxpayers who do not have their assets declared in the country to launder up to US$100,000 without paying any fixed tax
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