February 22, 2024

Brighton Journal

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The government sent Congress a proposal to exempt Chinese companies operating in Argentina from paying taxes

The government sent Congress a proposal to exempt Chinese companies operating in Argentina from paying taxes
Javier Mili and Xi Jinping

Government is included in the agenda sent to Congress Extraordinary Sessions The plan is to ratify the Double Taxation Avoidance Agreement signed with the Chinese regime in 2018. For this reason, if the initiative is approved, Chinese companies that pay taxes in their country will not do so for their activities carried out in Argentina.

Late Friday, the executive branch announced a list of proposals for immediate consideration by Congress. It reads, “A bill ratifying the treaty between the Republic of Argentina and the People's Republic of China Elimination of double taxation Signed at the Autonomous City of Buenos Aires on December 2, 2018, with respect to Income and Wealth Taxes and Tax Evasion and Avoidance and the Protocol thereto.”

Although sealed five years ago, the agreement to avoid double taxation has yet to have concrete results as it has not been ratified by Congress.

In the same vein, the government also sent proposals to ratify double taxation agreements with countries like the United Arab Emirates, Luxembourg, Japan and Turkey.

The project has been sent amid tension between the government of the recently inaugurated President Javier M and rule Xi Jinping. Both governments are holding open talks Currency exchange The respective central banks have been implementing it since 2008, and it has recently been an essential point for Argentina's public accounts, especially for maintaining its international balance sheet.

President Javier Mille in a meeting at the Casa Rosada with Wu Weihua, Special Envoy of Chinese President Xi Jinping and Vice President of the Chinese National People's Congress (Chinese Embassy in Buenos Aires).

Tensions over the link have escalated in recent days, with China suspending the implementation of a new tranche of currency swaps that would have allowed Argentina's central bank to pay or exchange those yuan for imports. They can intervene in the dollar and exchange markets, options to help ease their financial situation.

Millie had specifically asked Xi Jinping About the exchange In a letter sent two days after taking charge Pink House. However, the Chinese regime decided to set up wait The agreement and the Argentine administration's critical finances are blocking funds that serve as a lifeline.

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Despite earlier attempts, the deal was shelved ml In the first hour of his administration. The President welcomed him to his office Wu WeihuaVice President Chinese People's CongressDecember 11 is a day of inauguration.

But that goodwill gesture was not enough. Beijing That would have improved Ministry of Defence Did this week in acquisitions F-16 fighter jets Conducted by a North American manufacturer Denmark. The transaction was approved America Last October, the Pentagon pledged to provide weapons, training, logistical support and spare parts for the planes.

After the meeting with him Wu, ml sent a letter to Xi Requests your support and extension of remittance to fulfill international obligations. The summit surprised more than one person: During the campaign, the president made even tougher promises about his relationship with them. Beijing Later moderated by the current Chancellor Diana Mondino.

After his inauguration, the head of the regime moved the first token, congratulating Argentina's new challenge as head of the executive branch. Miley immediately received her representatives and thanked them for the letter. But in the dome Chinese Communist Party (PCC) believes that this is insufficient for such a significant financial commitment. In addition to the discomfort caused by possible agreement by F-16In China They are expecting a visit or meeting between the two leaders.