Blanqueo de capitales

Regulation and clarifications on the money laundering procedure for construction projects

Money Laundering – Regulation of Law 27,679 Incentive to Argentine Investment, Construction and Production.

Decree 556 defines that the scope of the concept of resident shall be that established in accordance with the Income Tax Law.

It also establishes that the excise tax will be determined on the value of the holding declared, expressed in local currency at the time of entry into the special account.

The funds declared must be used only for the development or investment in real estate projects in the Argentine Republic (constructions, expansions, installations, among others) and provided that they are carried out prior to 12/31/2024, inclusive, and may not be used for the payment of the special tax.

As it happened with the money laundering established in Title II of Law 27.613, the subjects that launder money in this opportunity will be excluded from accessing the tax benefits established by Title I of Law 27.613, which were intended for investors that started new real estate projects as of the effective date of such law, 12/3/2021, had a degree of progress of 50% or, carried out until 12/31/2022.

For more information on Decree 556 and the regulation of money laundering for construction projects click here. click here .

AFIP Regulation of Law 27,679 – Reestablishment of the procedure of the Normalization Program to Reactivate Construction Law 27,613.

By means of RG 5253, the AFIP establishes details on the procedure for the filing of Affidavits and determination of the Special Tax of the Real Estate Projects Registry established by RG 4976.

The taxpayers must enter the service “Normalization of holdings in currency Law 27.613” with a tax code, in which they must register the existence of the holdings and their valuation by means of the preparation of the D.J. form F.1130 from which the tax will be determined. Subsequently, generate the Electronic Payment Voucher (VEP) of the excise tax, and once payment is confirmed, the aforementioned affidavit will be sent automatically.

The confirmation of the filing of the D.J. will be communicated to the taxpayer at the Electronic Tax Address.

Holdings of local or foreign currency must be deposited in a “Special Deposit and Cancellation Account for Argentine Construction (CECON.Ar). Law 27613”, in the declarant’s name.

In accordance with the terms for crediting the declared currency holdings to the aforementioned accounts, the taxpayer must file a F.1130 affidavit for each of the following periods, in accordance with such crediting term:

PeriodAccreditation effective since
May 202112/03/2021 to 10/05/2021, inclusive
June 202111/05/2021 to 09/06/2021, inclusive
July 202110/06/2021 to 09/07/2021, inclusive
November 202208/22/2022 to 11/19/2022, inclusive
February 202211/20/2022 to 02/17/2023, inclusive
August 202202/18/2023 to 08/17/2023, inclusive

The affidavit filed in each of the aforementioned periods is independent of those filed in the other periods.

The due date for the filing of the D.J. F. 1130 and the payment of the excise tax will operate as follows, depending on the crediting period mentioned above:

PeriodExpiration
May 202131/05/2021
June 202130/06/2021
July 20219/07/2021
November 202219/11/2022
February 202217/02/2023
August 202317/08/2023*

Adherence to the voluntary system of declaration of holding local and foreign currency will imply for the taxpayer the waiver of any judicial or administrative procedure tending to claim for tax purposes, the application of updating procedures of any nature.

Subjects who have declared holdings of domestic and foreign currency under the terms of RG 4976, in respect of the periods May, June or July 2021 within the terms established in such regulation, but have not complied with the formal duty to complete the filing of D.J. F. 1130, may make such filing as an exception, until 11/30/2022, provided that the following requirements are met:

  1. Have credited their holdings of local or foreign currency in the “Special Deposit and Cancellation Account for Argentine Construction (CECON.Ar). Law 27,613” in May, June or July 2021.
  2. Have registered the existence of the aforementioned holdings and their valuation by means of the sworn statement form F. 1130 corresponding to the periods May, June or July 2021, through the aforementioned service with a tax code.
  3. Have paid the excise tax corresponding to the periods May, June or July 2021 within the established deadlines.
  4. Have not requested a refund of the excise tax corresponding to the periods May, June or July 2021.
  5. With respect to the funds duly deposited in the “Special Deposit and Cancellation Account for Argentine Construction (CECON.Ar). Law 27613”, they have kept such funds in the aforementioned account and/or have made exclusively the applications established by Article 7 of Law 27.613.
  6. Comply with the requirement to waive any procedure tending to claim for tax purposes the application of updating procedures, established by Article 17 of RG 4976, as of the date of completion of the filing.

Subjects that adhere to the Holding Standardization Program provided for in Title II of Law 27,613, must inform, as a sworn statement, the “Real Estate Project Registration Code (COPI)” and the amount of the investment or investments made, through the service called “Standardization Information System”, within the following deadlines:

  1. Subjects that have adhered to the Holding Normalization Program provided for in Title II of Law 27.613: until 03/31/2023 or within SIX (6) months after having allocated the totality of the funds to the development or investment in real estate projects, whichever is earlier.
  2. Subjects that adhere to the aforementioned program based on the reinstatement established by Law 27.679: until 03/31/2025 or within SIX (6) months after having allocated the totality of the funds to the development or investment in real estate projects, whichever occurs before”.

For more information about RG 5253 click here. click here .


If you have any questions, please contact us:

Mauro Parrella

Supervisor

Mauro.Parrella@ar.Andersen.com

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