After the unanimity of the Income tax vote, the agenda of the Chamber of Deputies twitches, amid the escalation of tension between the ruling party and the opposition due to the new restrictions. Beyond the negotiation due to the shift in the dates of the elections, the Frente de Todos has two conflictive issues in its portfolio: the draft Profits for companies -which will begin to be treated on Monday- and the new biofuels law, which expires in May and does not yet have an official project.
The Government had sent in March a project of Income Tax scales for companies that stipulated that those with annual profits up to $ 1.3 million would pay 25% of tax; those that earned above that figure and up to 2.6 million would pay 30% and companies with profits of more than 2.6 million would have an aliquot of 35%.
It was pointed out that this was looking for “Fill in” part of the tax gap That creates the change in the earnings floor for retirees and salaried employees, estimated at $ 48,000 million, for the million and a half people who will stop paying it.
That text generated a barrage of opposition criticism. Together for the Change he announced that he would not accompany him because it creates greater tax pressure for societies in the midst of a pandemic and goes against investment and job creation.
“The official economic-political model consists of squeezing with taxes what little remains of the private sector (and cannot migrate) to finance the voracity of its political-electoral spending,” Luciano Laspina (PRO) complained at that time.
But last week, with the intervention of Sergio Massa, and after a meeting with Minister Martín Guzmán, the ruling party decided to retouch the text and extended the 25% percentage for companies with profits up to $ 5 million. They announced it as a relief for 90% of SMEs and medium-sized companies.
However, it does not convince the main opposition group. “They present as ‘tax relief’ something that is not such. Due to the 2017 tax reform, all companies had to pay 25% since last year. With this measure, a group will pay 30% and another 35%. They say it is relief because what they had sent first was worse, “he said. Clarion the radical Alejandro Cacace.
The lavagnism also raises doubts although it has not yet defined its position. In the surroundings of Jorge Sarghini, the economic voice of the bloc, they point out that it continues to mean greater tax pressure, in the middle of the pandemic, and ask to clarify the wording of the article on gambling. “As it is written, it raises doubts that they are lowering the tax from 41% of that sector to 35%. And if that’s the case, it is unbeatable ”, they point out.
Although the commissions work 100% virtual, with the rise in cases, Congress is entering a standstill and the Budget commission that must deal with the issue has not yet convened.
But In the case of Biofuels, time is short. In less than 30 days – on May 12 – the promotion regime for biodiesel and bioethanol producers expires and the ruling party, which promised a new law, has not yet presented any project.
The opposition and even the sectors of the Frente de Todos linked to the producing provinces press and demand to vote for the extension of the current law, as the Senate did months ago.
The regime – which gives tax benefits to plants that produce bioethanol and biodiesel – was created during the government of Néstor Kirchner. The Senate unanimously approved the extension for four more years in August, but in Congress it was stopped.
Faced with the claims, the head of the Frente de Todos bloc, Máximo Kirchner, led a draft of a new project that proposes to focus 100% of those benefits on SMEs, although the percentage of mandatory cut in gasoline that will be reduced governs until now. However, that idea did not advance or was formally presented.
The opposition accuses the ruling party of responding to the oil lobby while in the Frente de Todos they point out that Together for Change defends the interests of the big grain companies.
“The Senate unanimously approved but in the lower house the ruling party allied with a large oil lobby stopped it.They are attacking the economy of ten provinces and against the treaties on Climate Change signed by Argentina, which promote alternative energies and the reduction of fossil fuels, “declared the head of the Together for Change interblock, Mario Negri.
Last month, JxC and the Federal Interblock convened a special session on the issue, which failed due to lack of a quorum.
“It is important that the senators, deputies and governors of the Frente de Todos who do not endorse the brake on the extension of Biofuels, express themselves in a forceful way. That they help their own government not to continue making mistakes. It is time for the silent to speak and for the still to be activated. There is no margin for them to continue being distracted, “claimed Alejandro” Topo “Rodríguez, president of the Lavagnista bloc.
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