This past week the government has made an official 15 percent income tax on purchases made abroad. Unfortunately this doesn’t just affect those who are able to travel, but Argentines who have been using their credit cards to make purchases online, thus avoiding the high exchange rate.
This surcharge will work as sort of an “advance” on income and personal goods tax, that can later be deducted. However given the high inflation rate in Argentina, once these charges are reimbursed they will have practically lost almost all their monetary value.
What does this mean for small business owners living in Argentina? Not much of anything, yet. So far, these taxes will only be applied to credit cards issued by Argentine banks. However it’s a clear example of the control the government has to regulate and analyze private property. As well, it’s a good mental note to make when contemplating whether or not to open an Argentine bank account.