Decree No. 84/2024: Excise Taxes.
Tax Law Department Report | Decree No. 84/2024: Excise Taxes
Through Decree No. 84/2024, published in the Official Gazette on January 25th, 2024, the minimum taxable base of Excise Tax Law (“the Law”) was updated for certain automobiles, motorcycles, and motorized bicycles.
Amendments were introduced, temporarily suspending the tax established for those transactions with a sale price equal to or less than $19,826,151, regarding land motor vehicles designed for the transportation of people (excluding buses, coaches, trolleybuses, ambulances and transport vehicles), those equipped for camping, and for the chassis with motor and engines of the aforementioned vehicles. Likewise, transactions with a sale price higher than the mentioned amount but less than $36,602,126 will be subject to a 20% tax. If the amount exceeds the aforementioned, a 35% tax rate will be applied.
Regarding motorcycles and motorized bicycles, the tax is temporarily suspended for transactions with a sale price equal to or less than $5,324,463. Transactions with a sale price higher than that amount but less than $6,826,234 will be taxed at a rate of 20%. If the amount is equal to or exceeds that figure, a 30% tax rate will apply.
As of April 2024, the Federal Administration of Public Revenues will quarterly update the specified amounts, considering the variation of the Internal Wholesale Price Index (IPM).
Please, do not hesitate to contact us should you require any additional information on this matter.
Sincerely,
Santiago Luis Montezanti
Enrique López Rivarola