Hoping to move soon to Argentina, here for immigration advice

[steveinbsas]

If you already have the funds, you could first deposit them into a new, personal bank account (the one in which you will receive the monthly payments from the trust account) and then transfer them as required to your Argentine bank account.

I meant to say to first deposit enough cash to fund the visa for at least one year into a new personal bank account and then transfer them in a lumpsum to the trust account. The the bank will then make monthly transfers to the personal account that can be sent directly to the Argentine bank account.

I also want to emphasize that it is imperative that the trust is irrevocable (with that word in the title) and that neither the income beneficiary or the trustor (in this case the same person) can "invade" the account and withdraw any funds at any time.

If I was doing this now, I would open and fund the accounts well in advance of applying for the visa and I would have at least two monthly deposits already sent from the trust account to the personal account. I would not use the personal account for any other purpose than compliance with the requirements set by migraciones.

 

[NiKo2b]

I never mentioned buying bonds and I do not recall any mention of bonds on this subjecy, though on several occasions I suggested "funding a trust account" with 30 to 90 day certificates of deposit.

I didn't mean you did. I read it on a website some times ago, they said you could get residency by investment in either a company, real estate, or bonds. I'm assuming it's outdated tho.

The trust fund solution could work, indeed. But I am not sure we have such financial instruments in Europe. I have never heard of it at least. And I don't think I can open an account in the US.

I am not trying to escape taxes or anything of the sort, so I don't really mind to disclose my income to them (as I would eventually end up paying tax in Argentina when living there). I only want the amount of bureaucracy to be as low as possible, as the time and energy spent on it is likely more expensive than the taxes, or at least more frustrating.

That would mean paying the Argentine lawyer as well as (most likely) making "other payments" many expats desperately try to avoid.

Sorry, I don't understand the part about the other payments.

Thanks, I had a look at some of your posts already, very interesting. As I said, I'm not sure I can use this system as a European (will ask my banks about this type of accounts tho, maybe it's not publicly available but somewhat possible).

 

[steveinbsas]

I didn't mean you did. I read it on a website some times ago, they said you could get residency by investment in either a company, real estate, or bonds. I'm assuming it's outdated tho.

I am certain that buying real estate will not create a path to temporary residency and if it ever did, that would have ended decades ago.

Nonetheless, migraciones includes the "investor visa* as a possible option, but I am not familiar with the current requirements. However,simply "investing" in an existing business is probably not enough. I believe the foreigner actually has to start a new business and employ Argentines. One member actually did that but he closed his candy store and left the country about ten years ago, quite fed up with the red tape and the corruption.

I am not trying to escape taxes or anything of the sort, so I don't really mind to disclose my income to them (as I would eventually end up paying tax in Argentina when living there.

If I understand correctly, you would not become a tax resident during the first year of temporary residency based on passive foriegn income. Perhaps a lawyer who actually has a track record for getting temporary residency for a foreigner who work remotely from Argentina can provide an answer.

Keep in mind that in addition to any income taxs that you end up paying, you will also pay about 20% IVA on everything that you buy from a business and pay for en blanco.

I only want the amount of bureaucracy to be as low as possible, as the time and energy spent on it is likely more expensive than the taxes, or at least more frustrating.

Obviously, you just want to work remotely and be left alone and have no desire to start a business amd deal with either Argentine employees or Argentine customers.

Sorry, I don't understand the part about the other payments.

Taxes

Thanks, I had a look at some of your posts already, very interesting. As I said, I'm not sure I can use this system as a European (will ask my banks about this type of accounts tho, maybe it's not publicly available but somewhat possible).

I hope it all works out. Please keep posting so others with similar desires might find a path forward leading to residency and citizenship.

 

[steveinbsas]

PS: Investing in Argentine bonds that can be bought and sold as desired isn't something I've ever heard of as a path to temporary residency. The assets that produce the passive monthly income for the visa rentista are supposed to be stable and untouchable, as well as foreign.

 

[NiKo2b]

Nonetheless, migraciones includes the "investor visa* as a possible option, but I am not familiar with the current requirements

The link was broken on their website last time I checked.

quite fed up with the red tape and the corruption

What’s the red tape? Is corruption that bad even now?

you will also pay about 20% IVA on everything that you buy from a business

I’m not sure to understand that part correctly. Isn’t everyone supposed to pay that?

Obviously, you just want to work remotely and be left alone

You kind of summed up it all. I don’t mind paying taxes as I should, but I won’t need local customers and don’t want to increase my bureaucratic burden too much.

hope it all works out. Please keep posting so others with similar desires might find a path forward leading to residency and citizenship.

Thanks. Will do. This forum is a great source of information.

 

[steveinbsas]

What’s the red tape? Is corruption that bad even now?

Even though David clused his business almost 15 years ago, corruption at the local level can still run rampant in major metropolitan areas.

A friend of mine who has a three storefront businesses in Punta Alta told me he doesn't have any problems with those in power but he knows some in Bahia Blanca that do.

You will never have to deal with thuga the way David had to. Even though he closed his store in 2010, I think his story is worth knowing about. I gave it a "bump" in 2022 (post #145).

Buenos Aires - not for the faint hearted

That's true about most lawyers not working in January due the the feria judicial, but this is not related to that, he didn't go away on vacation and he's around but just not very agressive.

baexpats.org

PS: I can easily imagine that a foreigner operating a retail store would be a likely target for a corrupt official than an Argentine citizen

 

[steveinbsas]

(Regarding the IVA)
I’m not sure to understand that part correctly. Isn’t everyone supposed to pay that?

Have you seen any of the YouTube videos of the Argentine pensióneros/pensionistas standing in line for hours to use an ATM to withdraw $40.000 pesos so they can pay for some fruits amd vegetables from a verduria or buy something from another business without having to pay the IVA?

At one point during covid it was possible for low income recipients to get an exemptiom from paying for food with their debit card, but I don't know what the piso was for the exemptiom or if it still exists.

As I use my Argentine credit card for almost everything that I pay for, I never ask if I can pay lees if the business does not provide a "ticket" (aka reciept).

Not long ago, someone posted that the verduria they shop at gives them a ten percent discount if they pay for their purchase in cash. What bothers me about that is that it increases the profit margin of the sale by ten percent and no tax on that sale is paid to the government.

 

[NiKo2b]

You will never have to deal with thuga the way David had to. Even though he closed his store in 2010, I think his story is worth knowing about. I gave it a "bump" in 2022 (post #145).

Thanks, an interesting reading. It is very sad to see what happened to him, and I hope he is fine now in his new life. I can't avoid thinking that his big mistake was not to get a lawyer immediately, instead of dealing with it personaly. By experience in other countries with corruption, the simple mention of bringing a lawyer can do a lot, and a call or a letter from a good one will solve most situations. That story gives a good insight on what was going on in Argentina at that time, and I hope it is somewhat better now. I would definitely not like to experience that, and those habilitationes
are scarry (I hate bureaucracy).

PS: I can easily imagine that a foreigner operating a retail store would be a likely target for a corrupt official than an Argentine citizen

Seeing what happens in other countries,I can only agree with you here.

Membets here have posted the verduria they shop at offers a ten percent discount if they pay 8n cash. What bothers me about that is that it increases the profit margin of the sale by ten percent and no tax on that sale is paid to the government.

So basically we're talking about tax evasion?
As a European, I am used to pay VAT on everything (or legaly avoid it in some cases), and I believe VAT is fine in a certain extent. Note that I don't enjoy paying taxes, I just believe that if we want the system to work, we all need to play with the same rules.

I usually pay everything with Apple pay because it's convenient and I don't like to carry a wallet. Also because I can afford it. I can imagine those pensioners are in a very different situation here...

That said, I'll see on site. As the saying goes, in Rome do as the Romans...