DISASTER AREA AND ECONOMIC AND SOCIAL EMERGENCY

Law 26,697

Declare a disaster zone and economic and social emergency and productive to different departments of the provinces of Río Negro and Neuquén. Sanctioned: August 3, 2011 Enacted: August 16, 2011

The Senate and Chamber of Deputies of the Argentine Nation, meeting in Congress, etc., are sanctioned by law:

Article 1-Declaration of disaster and economic, social and productive emergency for the term of 180 days, extended by the same term by the national executive branch, to the Departments Bariloche, Pilcaniyeu, Norquinco and May 25 of the The province of Río Negro, and Los Lagos, Lacar; Huiliches and Collon Cura in the Province of Neuquén, affected by the eruption of the Puyehue Volcanic Complex-Cordon Caulle, in the Republic of Chile.

Article 2-The national executive branch will have to allocate a special item to deal with the assistance and reconstruction actions of the affected economies, in the context of the emergency provided for in the previous article.

Article 3-Encomiendase to the national executive branch the extension of funds for the coverage of social plans during the temporary period of the declaration of emergency in the geographical scope of the same, as well as the adoption of measures which tend to preserve and restore the relations of production and employment. In the order of public works, the allocation of items shall be carried out as a matter of urgency in order to carry out the repair and/or construction of the public works concerned or which are necessary as a result of the factors that gave rise to the declaration of the state of the disaster area and/or economic and social emergency, prior to the study of the whole of the same ones that allows the establishment of priorities for the use of the available funds.

Article 4-Facultate to the national executive branch to adopt special measures to provide: 1. Special financial assistance for the economic activities affected: the national banking institutions, official or mixed, will participate in aid for the affected holdings included in the declaration of a disaster area and/or economic and social emergency, applying in accordance with the individual situation of each holding and in relation to the credits granted for their holding The following special measures are detailed: (a) Waiting and renewals at the request of the persons concerned of the outstanding obligations to the date on which

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to establish as an emergency or disaster initiation and until the next production cycle, under the conditions established by each banking institution. (b) the granting, in the areas of disaster and/or economic and social emergency, of appropriations to enable the economic activities to continue, the recovery of the economies of the holdings concerned, and the maintenance of their staff, with interest rates of 25% (25%) in the areas declared in economic and social emergency, and 50% (50%) in the disaster areas over those in place for these operations in accordance with the with the rules laid down by the banking institutions. (c) Unification, after analysis of each case, of the debts held by the holdings concerned with each intervening bank, under the conditions laid down by the latter. (d) Suspension of up to ninety (90) days and/or production cycle after the end of the period of the disaster zone and/or economic and social emergency of the initiation of trials and administrative procedures for payment of loans due to prior to the emergency or disaster. Judgments already initiated must be brought to a standstill until the deadline set in the preceding paragraph. For the same period, the course of the procedural terms of the expiry of the application and the limitation period shall be suspended. 2. Technical and financial assistance making non-reimbursable contributions for investment and operating expenses to reward productive capacity, with preference for family ventures with small scales of production and subsistence, facilitating in such cases compliance with the formal requirements for access to the benefits of the system.

Article 5-Facultate the national executive branch to implement, through the Federal Administration of Public Revenue and the National Administration of Social Security, special payment systems that expressly provide for the taxpayers affected in the context of Article 1 of this Law. The following special tax measures will be adopted for those responsible who, in the emergency and/or disaster situation, see their sources of income compromised, provided that the economic activity is (a) Extension of the maturity of the payment of the existing taxes or to be created, which shall tax the assets, capital, or profits of the holdings concerned, the maturities of which are during the period of validity of the state of disaster zone and/or economic and social emergency. The carryovers for the payment of the above taxes will have a maturity until the next production cycle (winter season) at the end of that period. They shall not be subject to updating of the nominal debt securities. (b) Facultate the national executive branch so that it can fully or partially exempt personal property taxes and the presumed minimum profit on those assets belonging to holdings and immovable property respectively, located within the disaster zone and affected by this extraordinary situation. In order to graduate the aforementioned exemptions, the national executive branch will evaluate the intensity of the event and the duration of the disaster period, which may extend the benefit to the next production cycle after the end of the disaster. c) The Federal Administration of Public Revenue (AFIP) will suspend until the production cycle after the date of the end of the period of disaster and/or emergency, the initiation of the trials of tax execution for the collection of taxes owed by the taxpayers covered by this law. Judgments which are in the process of collecting taxes covered by the exemption shall be brought to a standstill until the deadline set in the preceding paragraph is due.

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For the same period, the course of the procedural terms, the prescription and the expiry of the application shall be suspended. (d) The Federal Administration of Public Revenue (AFIP) will dictate the relevant complementary rules for the application and supervision of the benefits agreed upon by this law.

Article 6-Facultate the national executive branch to exempt from the payment of the duties, taxes and other taxes that affect the definitive importation for consumption of the goods established in Decree 608/10.

Article 7-Facultade the national executive branch to reallocate the budget items that are necessary to comply with this law.

Article 8-This law shall apply to all sectors not covered by the law 26.509 of agricultural emergency, in particular tourism and trade.

ARTICLE 9-Commune to the national executive branch. GIVEN IN THE SESSION HALL OF THE ARGENTINE CONGRESS, IN BUENOS AIRES, ON THREE AUGUST OF THE YEAR TWO THOUSAND ELEVEN. -REGISTERED UNDER NO. 26,697-JULY C. C. COBOS. -PATRICIA S. FADEL. -Enrique Hidalgo. -Juan H. Estrada.

Date of publication: 19/08/2011

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