Sergio Massa enters Casa Rosada.
The head of the House of Deputies, Sergio Massa is included in the bill that increases the billing rates or amounts of different categories of Monotax, a financial improvement also for the Self-Employed.
The project has a new one that was also signed by Leandro Santoro, Mónica Litza, Alejandro “Topo” Rodríguez and Margarita Stolbizer. That’s for Massa ensuring that the project is approved by the Deputies.
The proposal will benefit more than 4 million Monotributists than in July, due to higher semester inflation, must be re -categorized towards higher levels, which increases the quota value. And in the case of those in the highest category, the higher nominal charge may lead to them having to leave this Simplified Scheme and switch to the General Scheme, which is more expensive.
Currently, Monotax law stipulates that billing amounts are updated once a year, in January, according to mobility formula variations. And in January and July, it corresponds to re -categorization if the Monotributist fewer or more invoices related to its category.
In relation to the self-employed, at the current Non-Taxable Minimum of $ 252,564, the project raises the annual special deduction from $ 505,129.66 to $ 757,694.52 per year, adding a total of $ 1,010,258 per year. And the special deduction for “new professionals” has been increased to 2.5 times (now it’s 1.5 times), reducing the deduction gap for workers in a dependency relationship, an immense claim in the sector.
This increase in the deduction primarily affects the self-employed with incomes of up to $ 8 million (2 times the Monotax limit), which focus on the 95% of the self-employed who actually pay income tax“, according to the calculations of Massa’s advisers.”
According to a report by Massa advisers, the number of self-employed people has reached more than 480,000, but those who pay incomes using this MNI and deductions are 140,000. Many professionals can opt for Monotax if they invoice up to $ 3.3 million a year ($ 4.2 with the new Monotax measure), with a lower tax burden than if they choose the self-employed regime.
Furthermore, the self-employed with other deductions therefore, “in the case of those with annual incomes of 5 to 6 million pesos, the average effective rate is 18.8%,” according to the said Report.
In relation to cost or financial effort, Massa’s advisers said it was “neutral in relation to the projection of income tax collection in the 2022 budget and the effective collection resulting from macroeconomic variations.” And they added: “For the self-employed, it is estimated that the measure implies an average“ additional pocket income ”of $ 52,000 per year (depending on the income range and the effective tax rate), indicating a total transfer of resources directly converted to consumption of $ 7,310 million annually.
Tax expert Marcelo D. Rodriguez explained that “the benefit granted to the Self-Employed will only apply at the time of preparation of the affidavit for the 2022 period, the expiration of which will work in June 2023.”
However, Rodriguez clarified that “in order for the Self-Employed to have a particular benefit in the current year, AFIP must change the minimums at which these taxpayers must expect to pay tax through the withholding made by their clients up to the time of payment.for your services.That way they can enjoy the benefit in the current year.
Source: Clarin
