Decree No. 14/2024: Imports of goods for the production of export products are excluded from the PAIS Tax.
International Trade & Customs Department Report | Decree No. 14/2024: Imports of goods for the production of export products are excluded from the PAIS Tax
Decree No. 14/2024, published in the Official Gazette on January 4th, 2024, establishes that all imports of goods used for the production of products intended for export shall be excluded from the scope of the PAÍS tax.
The purpose of this measure is to promote the volume of exports as mentioned among its considerations, which states: “That to stimulate the growth of the export production activity, it is convenient not to affect with the referred tax the imports of goods to be used in the manufacturing of products to be exported, for which reason it is necessary to exclude from the scope of the PAÍS tax the import operations or the entry of goods under those regimes”.
Therefore, to favor the Argentine export activity, some cases that were taxed by the aforementioned tax are eliminated.
Thus, the penultimate paragraph of Article 13 bis of Title III of Decree No. 99/2019, as amended, is replaced by the following: “Imports referred to in subparagraphs b) and e) above include (i) definitive import destinations for consumption, including those perfected in the Province of TIERRA DEL FUEGO, ANTARCTICA, AND SOUTHERN ATLANTIC ISLANDS and (ii) the introduction of goods into a free zone, including those corresponding to the Province of TIERRA DEL FUEGO, ANTARCTICA AND SOUTHERN ATLANTIC ISLANDS, except those entered under the protection of a Free Zone Classification Certificate (C. T.Z.F.) issued under the provisions of Resolution No. 56 of October 10, 2018 of the former MINISTRY OF PRODUCTION AND LABOR, or that which in the future replaces it.”
We remind you that the amended text mentioned that: “Imports referred to in paragraphs b) and e) include: “(i) definitive import destinations for consumption, including those perfected in the Province of Tierra del Fuego, Antarctica, and South Atlantic Islands; (ii) the introduction of the merchandise to the free zone area, including that corresponding to the Province of Tierra del Fuego, Antarctica, and South Atlantic Islands; and (iii) the temporary import suspensive destinations made under the terms of Decree No. 1330 of September 30, 2004, as amended, or Decree No. 688 of April 26, 2002, as amended, in both cases, except that the price of the operation that originated the import is paid after the liquidation of the foreign currency for the definitive export for consumption related to that operation or that are financed with a pre-financing or advance from abroad. ”
In conclusion, the new regulation eliminates the scope of the PAÍS tax for the following cases:
1. introduction of goods into a free zone including the Province of Tierra del Fuego, Antarctica, and South Atlantic Islands, provided that they enter under the protection of a Free Zone Classification Certificate (C. T.Z.F.); and
2. temporary import suspensive destinations under the terms of Decree No. 1330 of September 30, 2004, as amended, or Decree No. 688 of April 26, 2002, as amended, in both cases.
This measure becomes effective from the date of its publication in the Official Gazette and will apply to the purchase transactions of banknotes and foreign currency in foreign currency carried out as from that date, inclusive.
Do not hesitate to contact us if you require any further information on this matter.
Sincerely,
Guido H. Krolovetzky