The Government of Javier Milei announced this Monday the dissolution of the Federal Administration of Public Revenues (AFIP), equivalent to the Spanish Tax Agency, and its replacement by the Customs Collection and Control Agency (ARCA), a cheaper organization with less bureaucracy and with the same person at the head, Florencia Misrahi.
“The Government is very happy to announce that as of today the Federal Administration of Public Revenues, better known as AFIP, will cease to exist,” explained the Government spokesperson, Manuel Adorni.
The measure will involve a 45% reduction in higher authorities and 31% at the lower levels, which represents an elimination of 34% of the current structure and a estimated savings of 6.4 billion pesos (more than 6 million euros) per year, as indicated.
«They are going to relocate and become available some 3,155 employees who joined the last government”, 15% of the staff, which according to the Executive, were hired “irregularly”, he pointed out.
The plan also includes a salary reduction for senior management. “Today the head of AFIP earns more than 30 million pesos (28,200 euros) per month and the directors more than 17 million (almost 16,000 euros) per month.” With this cut, “they are going to earn salaries comparable to what ministers and secretaries of State earn,” he highlighted.
The official statement published highlights that “the creation of ARCA aims to reduce the State” and the “elimination of unnecessary positions”, in line with the plan to slim down public administrations promised by Milei.
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