The Argentine Federation of Travel and Tourism Business Associations (FAEVYT) asked the Minister of Tourism, Matías Lammens, intercede with the AFIP to lighten the tax burden for the payment of the tax on the check who are currently forced to pay taxes for the simple fact of intermediating in favor of AFIP. They also claim to be exempt from paying fees and charges resulting from the use of credit and debit cards, when dealing with such taxes.
It happens that currently, say the agencies, dThey have to pay the tax on the check for the part of the transfers they make to the AFIP of the funds that originate in the collection from their customers of different taxes related to the sale of tickets and tourist packages.
The Federation recalled that the acquisition of services abroad contracted through travel and tourism agencies in the country –wholesalers and/or retailers– are achieved, for a tax of 30%, and for Perception Regimes that reach 70%, which makes up 100% of the collection burden overall.
They also point out that the Travel Agent is acting as intermediary on behalf and order of third parties, that is to say, it is the link between the user and the service provider, “resulting in a difference in price or commission of their actual income and being able to assimilate this activity to that of commission agent”.
They also argue that “furthermore, the travel agent has to bear the processing cost for the collection of said taxes through collections made by debit and/or credit card. The expenditure reaches between 2% and 2.5% of the total collected by both the Country Tax (30%) and the rest of the taxes (70%).
The companies specify that they suffer serious damage, “before the taxation of the Tax on Bank Debts and Credits, of the sums collected and paid to the Treasury” and therefore ask that the current accounts used by the Travel Agencies be included in their role as Collection agents in the context of Tax Exemptions on Bank Debts and Credits.
“We note, by way of example, the exemption provided for by the legislation on accounts used exclusively by airlines for the deposit of funds received by way of Airport Tax, Security, Single Terminal Use and Tax on the Price of Air Tickets Abroad ”.
Lastly, the agencies also asked to be exempted from processing costs for the collection of these taxes by credit and/or debit cards. And finally they asked that the Travel Agent be recognized as an Intermediary, defined by the Travel Agencies Law and that the activity be included among those achieved by a reduced rate of the Tax on Bank Debts and Credits.
Charles Arterburn is a seasoned business journalist for News Rebeat, where he provides comprehensive coverage of the latest trends and developments in the world of finance and economics.