Government Measures Will Have a Tax Cost of $ 40,000 Million

Three days after being beaten at PASO and generating a mega devaluation, Mauricio Macri decided to apply policies opposed to those he has worn for nearly four years and this will incur an additional expense compared to those authorized by the IMF. Expansive tax measures include the distribution of extraordinary amounts for workers, especially those with higher wages, to try to convince a part of the privileged electorate of the PRO.

The cost of this package to make up for the financial crisis until October will be 40 thousand million dollars, according to preliminary calculations of Alejandro Vanoli, former president of the central bank. That does not include the freeze on rates that the Minister of Social Development added a few minutes later.

In a recorded message of the Quinta de Olivos, the president announced the increase of 20% of the minimum tax on non-taxable incomewhich will result in a pocket upgrade of up to $ 2,000 per month. This decision will be retroactive, so AFIP must establish a return schedule About advances already paid.

The new floor of this tax will be $ 55,376 for a single worker and $ 70,274 for a spouse and two children. In the example prepared by the president, this can reach $ 12,000 for a married-type family with two children and a gross salary of $ 80,000 a month, a case far removed from the reality of most Argentines.

This group is most favored by today's changes, which reveal Macri's election intent. Try to use public funds strengthen the vote of 2 million included, the "middle clbad" angered against the leadership, which has generated nearly four million new poor and undermined the purchasing power of wages.

In addition, to white employees whose wages are less than $ 60,000 will exonerate them during the personal contributions of September and October, which represents 11% of gross salary. The benefit ceiling will rise to $ 2,000 per month.

For monotributists, the tax component of the September quota will be removed, which equates to $ 1,000 per person. Those receiving universal child benefits will receive two additional payments of $ 1,000 per child for two months.

State employees, armed forces and federal security forces will receive late August a $ 5000 bonus. Students receiving the Progress Scholarships will have a 40% increase over September, bringing it to only $ 2,520.

For its part, the AFIP will launch a plan to allow SMEs to finance their debts late for 10 years. Furthermore, Macri said that he would summon the Salary Council increase the vital and mobile minimum and this will freeze the price of gasoline for 90 days.

The tax burden of these extraordinary expenses total of about 40,000 million dollarsThis will further distance the government from the utopia of the zero deficit that the Head of State has committed to the Fund. Although the IMF has forgiven Macri each of the objectives not achieved by Cambiemos, the position before a government that has lost 16 points in advance taken by the US head of the multilateral agency may be different, David Lipton.