PAIS Tax — Amendments to Decree No. 99/2019 and General Resolutions No. 4815 and No. 5393.
Tax Law Department Report | PAIS Tax — Amendments to Decree No. 99/2019 and General Resolutions No. 4815 and No. 5393
On December 13th, 2023, Decree No. 29/2023 was published in the Official Gazette, amending Decree No. 99/2019. Additionally, General Resolutions of the Federal Public Revenue Administration (AFIP) No. 5463 and No. 5464 were published, amending General Resolutions No. 4815 and No. 5393, respectively. The introduced modifications are related to the Tax for an Inclusive and Solidary Argentina (PAIS) and complementary tax collection regimes. The provisions will come into effect on the day of their publication in the Official Gazette and will apply to operations carried out from that effective date. Below is a summary describing the main modifications.
Decree No. 29/2023 – Increase of PAIS Tax for imports of goods
The rates of Article 13 bis of Title III of Decree No. 99/2019 regarding the PAIS Tax are increased. The main modifications are as follows:
— The rate applicable to the acquisition abroad of freight and other transport services for import or export operations of goods, or their acquisition in the country when provided by non-residents, identified with the Monthly Accounting Information Regime Code for Exchange Operations BCRA S04, S30, and S31, is increased from 7.5% to 17.5%.
— The rate applicable to the importation of goods in general is increased from 7.5% to 17.5%, except for: (i) those whose tariff positions are included in subparagraph b) of the first paragraph of Article 13 (“luxury” goods), diesel fuel, lubricating oils, additives and related products, (ii) inputs and intermediate goods directly related to products in the basic food basket, and (iii) other goods related to energy generation.
General Resolution No. 5463 – Amendment to the Tax Collection Regime of Income Tax and Personal Assets Tax of General Resolution No. 4815 (complementary to PAIS Tax)
The tax collection regimes of General Resolution No. 4815 are unified, and the applicable rate is reduced to 30%. Two withholding regimes were previously applicable simultaneously for the taxes mentioned, with rates of 100% and 25%.
The withholdings made under the regime will be considered, depending on the taxpayer’s tax status, advance payments of the taxes indicated below:
a) Persons adhering to the Simplified Regime for Small Taxpayers (RS) and not subject to Income Tax: Personal Assets Tax.
b) Other persons: Income Tax. The tax collections performed will be considered as tax payments for these persons and can be credited in the annual Income Tax or, where applicable, Personal Asset Tax return for the fiscal period in which they were performed. Previously, tax collections could be credited in the first period after the one in which they were performed.
General Resolution No. 5464 – Amendment to the Advance Payment of PAIS Tax for the importation of goods of General Resolution No. 5393
The advance payment of the PAIS Tax provided for in Article 5 of General Resolution 5393, applicable to the importation of goods not included in Article 13, subparagraph b, of Decree No. 99/2019 (related to “luxury” goods), is increased to 16.625%. Before the amendment, the advance payment was 7.125%.
Do not hesitate to contact us if you require any further information on this matter.
Sincerely,
Santiago L. Montezanti
Enrique López Rivarola