Bs. As., 7/7/97
VISTO Issue No. 001-002531/97 of the registration of the MINISTERY OF ECONOMY AND ARTWS AND PUBLIC SERVICES, Law No. 19,640, Decree No. 1139 of September 1,988 and Decree No. 1395 of August 11,994, and
That the analysis and assessment of the conditions under which economic activities are carried out in the province of Tierra del Fuego, Antarctica and South Atlantic Islands reveal the need to produce modifications in the rules of application of the Act No. 19,640.
That under the existing suspension for the processing and approval of new settlement projects it is only appropriate to contemplate the general situation of the industries already installed under the law.
It is advisable to ratify that the pre-existing stimuli to industrial activity in the province of Tierra del Fuego, Antarctica and South Atlantic Islands, given in due course in response to the exceptional conditions of insularity and distance, reach exclusively the producers residing in the Special Customs Area.
On the other hand, having made claims at administrative and judicial headquarters pursuant to the provisions that are intended to be amended by the present, it must be established that the measures that are implemented will apply to those who expressly renounce such claims as well as those for starting on account of amounts entered into the Fisco as a result of those provisions.
That the General Directorate of Humanitarian Affairs of the MINISTERY OF ECONOMY AND ARTWS AND SERVICES PUBLICOS has taken the intervention that belongs to him.
That the present is given in the use of the powers granted by article 99, paragraph 2, of the NATIONAL CONSTITUTION.
THE PRESIDENT OF THE ARGENTINA NATION
RIGHT:Article 1.-Replace article 3 of Decree No. 1395/94 with the following:
Article 6 (b) of Decree No. 1139/88, as follows:
"b) The passive subjects who perfect such taxable acts may be able to compute in each fiscal period for the purpose of determining the corresponding tax, an presumptive tax amount equivalent to the amount resulting from the application of the levy, in force at the time of sale, on the actual sale price of the proceeds in the Continental Territory of the Nation, arising from the invoices or equivalent documents issued during the same fiscal period. "
"For the purposes indicated, the amounts corresponding to returns, bonuses, discounts, removals or rescissions that had been granted during the same fiscal period shall be detracted from the net invoice, even if these operations are related to taxable facts that had been refined in previous periods. "
"In no case shall the producers of the Special Customs Area be able to compute the royal tax credits originated in the Continental Territory of the Nation as a result of the purchase of inputs and/or services taxed by the tax."
"By dealing with economically linked companies, when the actual sale price referred to in the first paragraph of this paragraph exceeds the actual sale price of the same good in the Continental Territory of the Nation, the reseller concerned may only be computed as tax credit - for the purposes of the Attached Value Tax - the amount resulting from applying the existing lícuota on the OCHENTA and CINCO. These provisions will also be applicable when sales to the Continental Territory of the Nation are made from the Special Customs Area or generate taxable facts.Art. 2°-Replace Article 7 of Decree No. 1395/94 with the following:
"ARTICLE 7°. - The operations for the sale of goods in the Continental Territory of the Nation that are accredited as originators of the Special Customs Area, carried out by producing companies based in the said Area, shall enjoy the exemption of the CIENTO (100 per cent) from the Tax on Gains provided for in article 4 (a) of Act No. 19,640. In no case shall the expenses incurred in the Continental Territory of the Nation be deductible for the purpose of determining the Tax on Gains. "
"As a matter of the cases in which the situation described in the fourth paragraph of Article 6 (b) of Decree No. 1139/88 is verified and for the purposes of the exemption provided for in Article 4 (a) of Law No. 19,640, the sale price of the Special Customs Area to the OCHENTA and CINCO FOR SCIENTO (85%) of the actual sale price of the producer. Furthermore, the acquirer based in the Continental Territory of the Nation should consider the OCHENTA AND CINCO per ICCENTO (85%) of its resale price for the purpose of determining the computable cost in the Tax on Gains. "Art. 3°-Replace article 8 of Decree No. 1394/94 with the following:
"ARTICULO 8°-For the purposes of the fourth paragraph of Article 6 (b) of Decree No. 1139/88, it shall be considered that there is economic linkage when the company based in the Continental Territory of the Nation participates directly or indirectly in the control of the capital or direction of another company based in the Special Customs Area or vice versa, or in the case that a person or group of persons have direct or indirect participation in the control of the Territory "
"Without prejudice to the above, it will also be considered that there is economic linkage when the company based in the Special Customs Area carries out more of the SESENTA BY CIENTO (60%) of its total sales to one or more companies based in the Continental Territory of the Nation that constitute the same economic group. This percentage, if applicable, will be applicable for each product line. "Art. 4°-In the case of beneficiaries who have made claims at administrative or judicial headquarters initiated on the basis of the provisions of Decree 1395/94 that are amended by the present, or of claims to initiate for the perception of the sums entered into by the Fisco under them, the provisions of this decree shall apply whenever such claims are expressly waived.
The waiver referred to in the preceding paragraph shall be made, within the TREINTA (30) days of the publication in the Official Gazette of the present decree, before the government of the province of Tierra del Fuego, Antártida and South Atlantic Islands in the form and conditions available to it, who shall communicate it to the IMPOSITIVA General DIRECTION dependent on the MINISTERIO DE ECONOMIA and ARTHArt. 5°-The provisions of this decree shall enter into force from the date of its publication in the Official Gazette producing effects:
(a) In the case of article 1 of the present decree, for the impossible facts to be verified from the first day of the month following that of its publication in the Official Gazette or the waiver referred to in article 4 of the present decree, as appropriate, and
(b) With regard to article 2°, for the operations carried out from the dates specified in the preceding paragraph.Art. 6°-Contact, post, give to the National Directorate of the Official Register and archvese.- MENEM.- Jorge A. Rodríguez.- Roque B. Fernández.