After the
budgetary meeting that took place on April, 2013 in the attempt of calculating
the variations on the budget for 2014 in the City of Buenos Aires, the
GOVERNMENT reached the conclusion that in 2014 the RAISE on the “ABL-
Alumbrado, Barrido y Limpieza” (tax on street lights and cleaning) would increase
on 40%.
According
to some comments from the media, during 2014, the rise percentage would vary
according to the valuation of the house: houses that worth up $150.000
Argentine Pesos will suffer a increase of up to 20%; those houses that worth
between $151.000 and $300.000 pesos will suffer an increase of up to 30%; and
those that worth more than $300.000 pesos will suffer as increase of up to 40%.
In relation
to other years, the increase of the ABL in 2014 will not be as high as it has
been in previous years, since during 2012 and 2013 there has been increases
that reached 1000%. According to the government, this great rise on the ABL tax
had to be made in order to determine the budgets for the coming year; plus, the
prices where said to be behind according to the inflation rate.
The
increase on the ABL tax in Buenos Aires for 2014 and on those that took place
in the previous years were done in accordance with the “Ley Tarifaria” [Law on Tax
rates in Argentina] signed in 2011, which allowed increases and also set some
limits. As we have mentioned, even though the increase on the ABL will be high,
it will not be as high as in the prior years.
It is
estimated that with the increase on the ABL in 2014, around $4343 million pesos
(just with the ABL tax will be collected. This sum has to be added to other
taxes such as licenses, patents, among others. Altogether it is estimated that
the Government of the City of Buenos
Aires
Thus, for
2014, an increase of up to 40% is expected in the ABL tax. Still, the increase
will depend on the price of each property, so we will have to wait for the bill
to arrive.
