Tax increase from .75% to 1.25%

Apparently the annual property tax has increased from 0.75% of purchase price to 1.25%, but only if you are a non-resident owner. Also, I am informed that the amount goes down very slightly year to year, and that software to pay the tax has not been issued so that the deadline to pay was extended from April 1.

Has anyone else run into these issues? I believe that the relevant tax form is one or two pages long, so I cannot see why they need new software or how hard it would be to write it.

Is anyone aware of other countries charging differing property tax rates depending on the residency of the owner? Does it happen in Europe, the US or Australia, for example?

[QUOTE=Hobby Fan]Apparently the annual property tax has increased from 0.75% of purchase price to 1.25% , but only if you are a non-resident owner. Also, I am informed that the amount goes down very slightly year to year, and that software to pay the tax has not been issued so that the deadline to pay was extended from April 1.

Has anyone else run into these issues? I believe that the relevant tax form is one or two pages long, so I cannot see why they need new software or how hard it would be to write it.

Is anyone aware of other countries charging differing property tax rates depending on the residency of the owner? Does it happen in Europe, the US or Australia, for example?[/QUOTE]Hi HF,

As I understand this, applying a different tax rate to foreigners than to citizens would be a direct violation of one or several major international treaties. For example, membership in the WTO prohibits member countries from taxing foreigners differently than their own citizens. That's probably why the Argentine tax rates uses the terms residents vs non-residents.

Thanks,

Jackson

I understand that Argentine residents are subject to a tax on all personal assets held anywhere in the world, including real estate, in the amount of 0.5% per year. So for real estate, I think Argentine residents have to pay the 0.75% property tax on each of their properties located here, and also have to include the value of those properties in the separate, 0.5% of all-personal-assets-anywhere tax.

Perhaps the fact that non-resident owners are not paying the 0.5% personal assets tax on assets including their real property here has something to do with the 0.5% increase in property tax we do now have to pay. Or maybe not.

The tax thread suggestion that evasion is an answer popular with Argentines is plainly correct. But Europeans and Americans are at higher risk, and evasion is going to be (and should be) a more difficult strategy as the world shrinks. Anyway, I just don't want to be evading in the first place.

Saint? Andres? El Aleman? Any input on how this works?

Having had permanent residence since 1990, there has been no demand that I pay other than normal property taxes and nothing else. Citizens might be liable for the other taxes on property but if you pay taxes as I do in Australia or else in your home country, and you do not earn money locally, it is my understanding that you are not liable.

Argento

Hi Gentlemongers:

I would like to offer you to put you in contact with a professional and correct accountant in the case you'll need to pay your taxes in Argentina if you are a legal resident and you own a property here.

This tax will have to paid by April 2010 and it's 1.25% of the value that it is in the "escritura" for the property you own.

This person will charge US$300.00 for doing everything in the AFIP for you and he's already taking care of some members of this forum who own property here.

Send me an email at: [email]roxanainba@gmail. Com[/email] and I'll be glad to help.;)

Kisses,

Roxanne