Anyone concerned about this new proposal by FdT?

[Alby]

You're still quite young. It takes time.

 

[sts7049]

totally shocking that this govt would want new taxes of this sort (not). but i'm sure all of their wealth abroad is legally declared so it probably won't affect them

 

[antipodean]

totally shocking that this govt would want new taxes of this sort (not). but i'm sure all of their wealth abroad is legally declared so it probably won't affect them

Actually, it would likely help them and their friends. One thing is having money, another thing is being able to spend it on what you want.

The law is essentially a blanqueo in disguise - no questions asked where the wealth came from, they said themselves that there is no difference between offshore funds that come from corruption or drug trafficking or simple tax evasion - but once it’s declared and the 20% “tax” paid ... which is lower than what they’d need to pay today if discovered by AFIP ... to pay the IMF in dollars or whatever BS spin they want to put on it - then they will be free to spend all that filthy dirty money however they wish inside or outside Argentina. The inconvenient history of where that money came from, deleted.

 

[sts7049]

well, you are right too but i was speaking more about the mentality to just create new taxes as the means to solve all of their problems.

 

[Nine years]

Hi

I think the annual wealth tax on global assets would discourage a prospective retiree from
choosing Argentina over its competitors?

Could someone please comment on my statement

Thanks

 

[Alby]

Only if the retiree (or anyone else with assets) takes the trouble the investigate the tax laws in Argentina. But most don't seem to do any due diligence whatsoever.

 

[Nine years]

As a prospective retiree and a long term fan of Argentina
I am unsure of my position now I would not like to pay the annual
wealth tax on my assets

 

[Alby]

As a prospective retiree and a long term fan of Argentina
I am unsure of my position now I would not like to pay the annual
wealth tax on my assets

There are several threads here on this and related taxation issues. Look around; you will find a range of views. There is no question in law: the worldwide assets of Argentine tax residents (which a retiree here from another country quickly becomes--unless protected by a double taxation treaty) are taxable at (current) rates of up to 2.25% per year. The debate is around whether the tax authority has ever, or would ever go to the trouble of claiming those taxes. There are plenty of opinions on the latter. But nobody really knows, because there is no way of knowing. It comes down to each individual's judgement.

In terms of your question about comparisons with neighbouring countries, one advantage Argentina offers is precisely its double tax treaties with quite a number of OECD countries, most struck during the 1990s. Some do give, or could be construed as giving relief to the wealth tax.

 

[steveinbsas]

I think the annual wealth tax on global assets would discourage a prospective retiree from
choosing Argentina over its competitors?

Could someone please comment on my statement

I did not know about the bienes personales (wealth) tax when I arrived in Argentina in 2006 and did not know about it when I bought an apartment in October, a few days after I received the precaria for temporary residency.

I did not pay the tax until 2009 when I was selling the apartment and I had to pay the tax (plus interest) before the escrutiua for the previos three years.

I had the escrituras for the sale of the first apartment and the purchase of the second apartment at the same time.

I sold the second apartment in 2010 and moved to the property where I now live.

I have not paid any bienes personales tax on my assets in Argentina since 2009, and I have never paid the tax on any assets outside of Argentina.

For me the "wealth tax" was a non issue even though I had to pay interest for the taxes that were past due.

If I remember correctly, the tax was about 1.25% for the years I had to pay as a temporary resident.

As a "prospective retiree" at the age of 55, Argentina won out over it's "competetors"almost immediately after my arrival in 2006, not because of a tax I did not know (or would have cared much) about, but because of the differece in the cost per mtr2 of an apartment in Buenos Aires versus the cost per mtr2 of an apartment in Paris....as well as the cost of living in France compared to Argentina..

 

[toongeorges]

There are several threads here on this and related taxation issues. Look around; you will find a range of views. There is no question in law: the worldwide assets of Argentine tax residents (which a retiree here from another country quickly becomes--unless protected by a double taxation treaty) are taxable at (current) rates of up to 2.25% per year. The debate is around whether the tax authority has ever, or would ever go to the trouble of claiming those taxes. There are plenty of opinions on the latter. But nobody really knows, because there is no way of knowing. It comes down to each individual's judgement.

In terms of your question about comparisons with neighbouring countries, one advantage Argentina offers is precisely its double tax treaties with quite a number of OECD countries, most struck during the 1990s. Some do give, or could be construed as giving relief to the wealth tax.

What these double taxation tax treaties typically say is:
- other countries will share their tax information about you with Argentina
- you have to pay the total amount of the Argentine tax. If you had already paid the exact same tax in another country, you can deduct this amount from the Argentine tax, but you still pay the total amount, only divided over 2 countries instead of one.