November 26, 2014
CFK announces 20% rise of income tax floor
President Cristina Fernández de Kirchner announced on national television that the Government would apply a 20 percent rise on the income tax floor. She also announced a 15.18 percent rise for pensioners.
While addressing the nation from the Government House, Fernández said that the new measures would be enacted after March 1st.
“Those qualifying for income tax payments will be single workers who earn over 8,360 pesos and married workers with two children who earn over 11,563 pesos,” she explained.
She also said that after these changes are applied, the 82,5 percent of employed workers will stop paying said tax.
Unions had been asking for a rise of the income tax floor, and the official CGT umbrella union had said that as a condition to begin the collective bargaining process, the Government would have to change it.
At the same time, the President announced that pensioners would receive a 15.18 percent increase on their minimum pensions after March 1st.
Fernández explained that this hike represents a 28.33 percent increase since last year.
The pensions floor will go from $1,879.67 to $2,165 pesos, she indicated, as she assured that Argentina “has the most important pension coverage of Latin America.”