December 10, 2013
Gov't rises income tax floor to 15,000 pesos
Only employees earning more than 15,000 pesos in gross salary will have to pay income tax starting September 1, President Cristina Fernández de Kirchner said.
The president made the announcement at the beginning of a second meeting with business, union and industrial leaders at the Government House in Buenos Aires City, thereby fulfilling a long-held demand by unions that had said the income tax had not kept up with inflation.
Once reserved for the wealthiest earners, the income tax had in recent years hit a larger percentage of workers. Now, only 89.8 percent of salaried workers will have to pay the tax, Ricardo Echegaray, the head of the AFIP tax bureau, said.
In addition, all families earning up to 15,000 pesos in gross salary will also be beneficiaries of family benefit schemes.
Fernández de Kirchner was hosting union and business leaders in what was the second part of the dialogue that was launched in Santa Cruz last week, when representatives from the banking associations, the Argentine Chamber of Commerce, the Argentine Industrial Union (UIA) and the Argentine Construction Chamber met with the president.
Pro government factions of CGT and the CTA umbrella unions were also present.