December 6, 2013
Income tax reform receives green light in Lower House Committee
The Lower House Budget Committee approved a bill that seeks to tax companies stocks that are not listed in the market. The project follows last week’s announcement by President Cristina Fernández de Kirchner increasing the income tax floor by 20 percent.The bill will be addressed tomorrow during a Lower House special session where the Kirchnerism count on an easy passing: out of the 49 members of the budget commission, 27 belong to the ruling Victory Front party and 2 to pro-government blocs.
Although opposition groups Peronismo Federal, Progressive Coalition, the PRO and the Civic Coalition will seek to issue a ruling demanding a periodical update of income tax, most anti-kirchnerites have already vowed their support to the presidential decree that takes income tax floor to 15,000 pesos.
The bill discussed by MPs today modifies the Income Tax law creating a 15-percent tax over bonds and stocks buy-sell deals that are not listed in the market and setting a 10-percent levy on companies’ dividends.