The AFIP no longer requires rental contracts to be registered

[MilHojas]

La AFIP eliminó la obligación de registrar los contratos de alquiler

La Administración Federal de Ingresos Públicos busca reducir la carga administrativa de los contribuyentes en el marco de la derogación de la Ley de Alquileres

www.infobae.com

English translation

 

[LuckyLuke]

Kind of makes sense when you consider that the bank is already reporting both the tenant and landlord's account activity to AFIP. The only way around that would be to operate in foreign currency and surprise, surprise, that must still be reported to AFIP regardless.

 

[MilHojas]

Kind of makes sense when you consider that the bank is already reporting both the tenant and landlord's account activity to AFIP. The only way around that would be to operate in foreign currency and surprise, surprise, that must still be reported to AFIP regardless.

Do you bring your rental contract to the bank?
Does the landlord bring a rental contract to the bank?

 

[FrankPintor]

Do you bring your rental contract to the bank?
Does the landlord bring a rental contract to the bank?

The data has already been collected by AFIP. Depending on AFIP's storage capacity (and using cloud storage, it's infinite), the data will always be there, and can always be mined.

At the least, AFIP will be able to infer a relationship between you and your landlord. Now, is it romantic? Platonic? Commercial? The metadata will tell, for instance, what's your registered address, which properties does your landlord own, how often and how much do you pay him?

Apart from some heavy lifting on the data storage part, which is easily managed by setting bank reporting thresholds, I don't see huge problems for AFIP to identify these transactional relationships.

 

[LuckyLuke]

Do you bring your rental contract to the bank?
Does the landlord bring a rental contract to the bank?

Did you request your bank transfer your rent to your landlord for the same amount every month?
Did your landlord request his bank deposit these funds every month?
Are both of those banks now reporting this activity to AFIP? Then no need for redundant reporting.

 

[redlobster]

At the least, AFIP will be able to infer a relationship between you and your landlord. Now, is it romantic? Platonic? Commercial?

Sometimes it feels like a competition to imagine what the AFIP can infer. Whoever comes up with the most ideas gets 4.5 golden stars.

 

[SinPulgas]

Kind of makes sense when you consider that the bank is already reporting both the tenant and landlord's account activity to AFIP. The only way around that would be to operate in foreign currency and surprise, surprise, that must still be reported to AFIP regardless.

I think this decision was at least as much political as it was fiscal. The requirement to register with the AFIP was a new requirement introduced with the ley de alquileres, which Milei did away with his first day in office.

 

[antipodean]

They are instead appealing to tenants to register rental contracts in order to be able to deduct their rent payments from their own income tax bills, rather than depend on landlords declaring contracts in order to be able to pay tax on their rental income.

A shift towards encouraging compliance through incentivising one of the parties of a transaction to put that transaction into the tax net.

Ultimately declarations just don't work unless there is an incentive to declare it and declare it in full... any declared contract can show a value of just $1, despite $100 of cash ultimately changing hands.

 

[arvest]

They are instead appealing to tenants to register rental contracts in order to be able to deduct their rent payments from their own income tax bills, rather than depend on landlords declaring contracts in order to be able to pay tax on their rental income.

A shift towards encouraging compliance through incentivising one of the parties of a transaction to put that transaction into the tax net.

Ultimately declarations just don't work unless there is an incentive to declare it and declare it in full... any declared contract can show a value of just $1, despite $100 of cash ultimately changing hands.

Very interesting, is there any article on this new change in the rules?

 

[antipodean]

Very interesting, is there any article on this new change in the rules?

Alquileres - SiRADIG | AFIP

El sistema para registrar y actualizar las deducciones del Impuesto a las Ganancias

www.afip.gob.ar

Tax deductions for rental expenses have always existed. You need to be registered as an employee, pensioner or autonomo to access them however. Here is the guide on how to do it and register the contract.