This report analyzes Bill 2634-D-2022 on Tax Relief for Small Taxpayers and Self-Employed.
As for the analysis of the fiscal cost related to the Simplified Regime for Small Taxpayers, the estimate refers to the effect that would cause the recategorization of taxpayers who are close to the upper limit of each category. Consequently, a maximum loss of tax revenues of ARS4.566 billion is estimated.
On the other hand, the proposed increase in the Special Deduction for self-employed taxpayers would result in a reduction of the Assessed Tax accrued for the 2022 tax period of ARS29.730 billion, which would not represent a reduction of tax resources for the year 2022 given the way this tax is determined, assessed, and paid.
Thus, the impact on the Treasury and taxpayers would be reflected as from June 2023.
However, since the advance payments of individuals are calculated by applying a rate of 20% based on the tax determined in the previous year less the deductible items, if the taxpayers or the regulation of the law enables a reduction of such advance payments, then a reduction of revenues could be verified this year.