Approval of the Tax Concessions Law: what are the new measures for single-tax and self-employed persons

The tax relief for single-tax and self-employed persons, it became law this Thursday with its approval in the Senatorial Chamber with 60 votes in favor and unanimously. The measure implies a different scale of sections, the exemption from payment for categories A and B of monotax, and a greater deduction of personal income tax for self-employed workers.

The project was part of a session that began with a discussion between government supporters and opponents about the visit of the President of the Nation, Alberto Fernández, to Jujuy activist Milagro Sala, who was hospitalized for his health while serving a sentence in the USA. domicile.

The specifications of three Argentine ambassadors in Ecuador, Honduras and Venezuela and a bill presented by the Front of All for regularize social security debtsamong others.

The sanctioned tax relief would result in a reduction of the tax burden by almost 67 billion dollarsaccording to a report presented by the Congressional Budget Office (OPC).

The reduction of the charges on the Simplified Scheme would imply a tax relief for taxpayers of $ 11,067 millionwhile the effect on the determination of the Income Tax would imply a cost reduction of $ 55,223 million.

In the case of Profits, the OPC highlighted, in the absence of an adjustment in the current legislation on the amount of the advances to be paid, the effect on the collection of the tax would begin to manifest itself. from June 2023once the presentation of the sworn declaration for the fiscal year 2022 has been made.

The tax impact on the Simplified Regime includes a projection of the single-tax payers who will pass the section and would possibly be excluded from the regime – in addition to the exemption from the payment of the integrated tax to the taxpayers of Categories A and B. It is estimated that 1,577,254 taxpayers would stop paying the tribute.

As for self employedthe difference is the percentage reduction in deposits obtained from the simulation on the data by tranches about 6%which shows a decrease due to the increase in the Deduction for special projects estimated at 55,223 million dollars in the provision of affidavits for fiscal year 2022.

After the reform cIt would take effect from fiscal year 2022the impact of this provision would have repercussions on the collection starting from June 2023 with the presentation of the 2022 affidavits.

“Since the advances of human persons are calculated by applying a rate of 20% based on the tax determined from the previous year minus the deductible concepts, the advances would begin to be taxed with the incorporation of the Project from August 2023“says the OPC report.

And he adds: “Therefore, in 2022 it would have no tax impactunless a reduction of the advances is requested “.

The initiative aims, on the one hand, to update the billing of single-tax payers a prevent them from having to change categories and pay higher taxes and, on the other hand, increase the wage withholdings paid by employees who fall into the category of self-employed workers.

The proposed changes provide benefits for the sectors with lower turnover by increasing collections 60% the maximum amount of the first four categories of the Monotax, while in the first two -A and B- the payment of the tax component was eliminated, therefore the monthly fee will be $ 288 and $ 555 per monthrespectively.

To make the provision progressively more effective, this benefit is for “pure” single-tax payers, that is, for those who have no other income, whether they are from pensions, dependency relationships, financial income or real estate leases.

How were the stairs of the monotribute

According to the original opinion, the billing that each category of monotax can reach will be as follows:

Category A $ 748,382;

Category B $ 1,112,459;

Category C $ 1,557,443;

Category D $ 1,934,273;

Category E $ 2,277,684.56;

Category F $ 2,847,105.70;

Category G $ 3,416,526.83;

Category H $ 4,229,985.60;

Category I $ 4,734,330.03;

Category J $ 5,425,770.00;

Category K $ 6,019,594.89.

With information from the Télam Agency

DS