Vaca Muerta, mining, soy, knowledge economy. The government is trying to promote, through benefits, all activities that can generate dollars necessary so that production does not stop.
Although it is not a differential exchange rate, like the soybean dollar, on Monday the Minister of Economy Sergio Massa announced that companies that export services and technology will be able to earn a portion of the dollars for free that they generate with their sales abroad. The official goal is for exports from this sector to grow by 30%, to $ 10 billion.
How is the new exchange scheme that the Government will establish by decree and who will be able to use it?
Here are the keys to the program:
Advantages of investment
To encourage investment, the government exempts the liquidation requirement in the free foreign exchange market up to 20% of the foreign currency which could be entered as a foreign direct investment.
Investment projects, not less than US $ 3 million, must be earmarked infrastructure, capital goods and working capital.
And the dollars that will remain for the companies can be used to pay principal and interest economic or financial liabilities with the outside; Payment of profits and dividends which correspond to closed and certified financial statements; to monetary repatriation of non-residents, oa investments achieved by the regime.
Increase in exports
Companies already enrolled in the Regime for the Promotion of the Knowledge Economy will be able to access 30% of the foreign currency they receive to increase their exports and then use it to pay salaries.
This advantage is based on the fact that many employees of the company prefer to resign I work as a freelancer with clients from abroad and therefore bill in dollars, which enter through the alternative market.
It is estimated that due to the exchange gap at least a quarter of exports from this segment remain in the informal market and they do not feed the reserves of the Central Bank.
Argentine law allows the payment of up to 20% of wages “in kind” and that, despite this warning, companies in this sector have not been able to offer this differential to their employees until now because they had limited access to the foreign exchange market. Being able now to have part of the foreign currency, They could also use those cash dollars to keep their employees.
Promotion of the sector
For the only time there will be the transfer of the tax credit bonus on employer contributions, exclusive to companies registered with the Regime, which carry out exports that represent at least 70% of annual turnover.
Companies can join the new Regime up to June 30, 2023 and they have 24 months to realize the investments from the approval of the project, extendable up to another 2 years.
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Source: Clarin
