Companies believe it tax burden will increase this year. They think that in an election year and being on a program with the IMF and having to hit the fiscal deficit target, the Government will resort to increasing the tax burden.
This is what emerges from a survey by the KPMG consultancy firm, one of the four big companies in the world. That skips it Gross income continues to be the tax with the greatest impact on the prices of products and services.
83.93% of those questioned stated that in 2023 the tax burden will increase on the business activity. The pessimistic opinion of the interviewees on the increase in the tax burden on the economy has remained very high in the last 5 years.
“The expected worsening in terms of the tax burden for this year has added to the high percentage of respondents who indicated that already in 2022 the tax burden it had brought them into a situation of divestmentit should be a powerful warning signal to economic authorities and the economic teams of those aiming to be elected to executive positions in this year’s electoral process,” says Fernando Quiroga Lafargue, partner at KPMG and head of the survey.
In that survey, they also asked about the nation’s Supreme Court of Justice. is reached the highest qualification in terms of objectivity in tax matters followed by the National Tax Court. Most respondents agreed on the importance of having a framework of tax predictability for 10 years with no increases in national and provincial taxes.
We consulted CFOs and tax specialists of medium and large companies from all over the country dedicated exclusively to managing the tax matters of their organization.
Quiroga Lafargue, underlined that for 52% of the interviewees the gross income continues to be the tax that most impacted the prices of products and services in 2022. It is followed by Earnings (19.64%). In this way, the gross income tax consolidates year after year in the absolute primacy of the taxes that make the prices and services of companies more expensive.
In the opinion of the majority of those interviewed (96.43%) it is observed that the Argentine fiscal framework o It forced them to divest or, at best, allowed them to “keep” the investments already made. Only 3.57% declared that they had developed an expansion plan in terms of investments in 2022. “In line with the latest surveys, the percentage (50%) of those who declare that they have been forced to divest due to the fiscal maneuver.
As regards Profits, discounting the effect of inflation, a third (34%) of those consulted expect to have a taxable result higher than 2021 in the next Affidavit of 2022 (done in May 2023 for the December closings). Another third believes that they will determine a lower tax result than last year (32%) and 9% estimate that they will present a tax profit equal to that of 2021. Finally, 25% of respondents said they declared tax losses for the year 2022. Of the group that estimates tax losses for the year 2022, 21% came from reporting profits in 2021.
82% of consulted shows balances in favor of provincial taxes of various amounts. The generalization of this type of financial immobilization for businesses is “highly harmful”.
“The multiplicity of provincial tax collection regimes on transactions, often duplicated when applied to bank credits as well, has generalized what for many companies constitutes one of the main problems of the country’s tax system,” concluded Quiroga Lafargue.
Source: Clarin
