ANNOUNCEMENT 01 Aug 2016

Argentina has launched a tax benefit package to promote the use of local content within the automobile industry.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

Argentinian Senate and Congress. Senado y Cámara de Diputados de la Nación Argentina. Ley 27.263 http://servicios.infoleg.gob.ar/infolegInternet/anexos/260000-264999/263955/norma.htm

Inception date: 01 Aug 2016 | Removal date: open ended
Still in force

Localisation incentive

Since 1 August 2016, Argentinian car manufacturers can enjoy a special fiscal benefit that allows them to obtain electronic vouchers with a transferable tax credit valid to pay the VAT in later fiscal exercises. To obtain this fiscal bonification, a minimum local content requirement in the final product is mandatory.

In the case of cars, trailers, engines and agricultural vehicles, the minimum local content requirement is 30%, whereas for trucks and other automobile parts are 25% and 10% respectively. The range of the tax benefit varies between 4% to 15% of the sales value depending on the total local content amount.

AFFECTED SECTORS

 
441 444 491 492 499

AFFECTED PRODUCTS

 
870120 870130 870190 870321 870322 870323 870324 870331 870332 870410 870421 870422 870423 870431 870600 870790 870810 870821 870829 870830 870840 870850 870870 870880 870891 870892 870893 870894 870895 870899 871410 871491 871493 871494 871495 871496 871499
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