Starting from January this year, a large number of pensioners who have been living abroad for years began to serve the income taxregardless of the credit amount e even if they perceive the minimum or not.
So while the Supreme Court last week upheld a Section II ruling of the House of Social Security that exempt to pensions and pensions from the payment of Earnings, many pensioners living abroad contacted clarion surprised because the concept was appearing for the first time in their pay slips “Income tax, residents”.
For example, a retiree who has lived in France for years with a pension of just $22,473.27 kept $7,079.08 from earnings. The discount is equal to 31.5% of the total credit, equal to 90% of the maximum rate (35%), with no floor or non-taxable minimum.
“Since there have been no regulatory changes in recent times, we understand that the change is due to a data crossing by the withholding agent (ANSES) which allows determine with greater certainty who resides abroad to apply the withholding tax mechanism”, She said clarion the president of the Professional Council of Economics, Gabriela Russo. And you added: “the pension institution informs on its website that the address declared by the interested party in” My ANSES “is taken into account, but this is not the only source of information, because from 2022 it will also be the life assessment process was reactivated every 6 months through the Consulate”.
Russo clarified that Law 20.628, article 104 provides that “when they are paid to foreign beneficiaries The net profit will be assumed, without admission of evidence to the contrary. for 90% of the sums paid.
Therefore, two retirees, one residing in Argentina and the other abroad who have worked and contributed equally, with current legislation will have a different tax burden. Is that if you keep the status of resident abroad, you will have a heavier tax.
It should be noted that by applying the agreements entered into with Australia, Spain, France, the United Kingdom and Switzerland, residents abroad are exempt from paying income tax in Argentina. In these cases, they must accredit it through a virtual procedure available on the ANSeS website,” Russo specified.
Pension lawyer Rodrigo Martul Sainz also clarified that “it doesn’t matter what the amount of the pension was or the scheme under which he retired. Those who are domiciled abroad in the ANSES databases have a discount as a contribution to the PAMI (code 318) and with code 302 withholding tax, which is equal to 31.5% of the net assets”.
Source: Clarin
