The measure will take effect from 2022 and does not exempt from complying with the payment of other taxes. This measure benefits those who charge in Bitcoin but not those who trade P2P and DEX.
Starting next year, professionals who export services from Argentina will not have to pay the 5% withholding fee for the entry of foreign currency into the country.
This new measure protects experts from the so-called knowledge economy. This group of experts includes software developers, audiovisual producers, providers of electronics and communications services.
The foreign exchange market is a complex issue, both for the Government and the Argentine citizens. Now, the Central Bank decided to stop charging a tax that could favor the cryptocurrency sector.
Through this new resolution, confirmed by the state news agency Télam, the Argentine government intends to encourage employment in the sector and favor the entry of foreign currency into the country.
The counterpart might be the eradication of the withholdings decreed by former President Mauricio Macri in 2018. This eradication would lead to a loss of income for the State in tax matters.
In exchange, the government would have more dollars under its power since all foreign currency that enters the country must get converted into Argentine pesos.
This New Legislation Affects Bitcoin Users
The portal of the Federal Administration of Public Revenues of Argentina highlighted said this type of economy would encircle expertise in areas such as technology, information, communication, and science.
Many experts in the cryptocurrency sector would get included, such as programmers or software developers, content creators, communicators, translators, and even hardware manufacturers.
All these professionals who enter dollars into the country through a bank would receive good news: They will stop paying that 5% from 2022.
Even those who charge in cryptocurrencies such as bitcoin ( BTC) or similar currencies, must invoice in pesos and enter the money into the country as pesos.
Also, this situation does not directly affect most users of bitcoin and other cryptocurrencies. These transactions, however, take effect between two users in the local currency and on a decentralized network.
The Exchange Rate, an Obstacle to Exporting services Nowadays
As Zocaro explains, the main problem for Argentine exporters is the obligation to change currencies automatically when they enter the country. As the specialized sites reflect, the official exchange rate( The ones the banks pay) is far from the market value, called the blue dollar.
The official dollar is trading at ARS 98, while the blue is trading at ARS 183. The difference between the two is ARS 91, that is, almost double.
This type of exchange, the blue one, is the one that many people use to receive dollars for savings since the exchange rate sets a purchase limit of USD 200 for each person through banks and financial entities recognized by the BCRA.
This elimination of withholdings does not imply that exports must stop being in a declaration or the corresponding taxes must get paid in these cases. These tax obligations include payment for billing services, in addition to income tax and personal property tax.
By: Jenson Nuñez
