After having refused to sign the Fiscal Consensus, the Government of the City of Buenos Aires continues with the increases in 2022. The Head of Government, Horacio Rodríguez Larreta, who manifests himself against creating or increasing taxes, raised the aliquot of Gross Income for the transportation, financial intermediation and financial services sectors. It also created new taxes or expanded existing ones to other areas that were not previously achieved. And from today there will be increases in the Vehicle Technical Verification (VTV) services, metered parking, haulage, Ecobici and highway tolls, with increases that will range between 40 and 51 percent.

The detail of the increases indicates that VTV increases 51 percent, with which the rate for cars will go from 2,665 to 4,023 pesos, while the service for motorcycles goes from 1,002 to 1,513 pesos.

In the case of metered parking, it was reported that the hour will go from 30 to 45 pesos, which represents a rise of 50 percent.

Car hauling rises 45 percent, from 4,350 to 6,525 pesos, while the increase for the Ecobici service is 40 percent for nationals and 70 percent for tourists.

Finally, the adjustment of tolls for the use of highways will be 45 percent on average: light vehicles will pay 61 pesos in Alberti, 88.50 in Illia and 215 in Autopista 25 de Mayo and Perito Moreno. For those who do not have TelePase or have it disabled, they must pay four times the value of the rate in the case of using the greenways. On the yellow roads (those charged in cash), the payment will continue to be double the established rate.

In addition to these increases, in the last two years the Government of Buenos Aires raised several existing taxes, extended their scope to unexplored items and created new ones. The list is as follows:

  • Gross Income: social and health services, the rate rose from 4.75 percent in 2021 to 5 percent in 2022. The fiscal pact that the City signed in 2017 established that this year this rate should be 4 percent.
  • Gross Income: financial services, the rate increased this year from 7 percent to 8 percent. The fiscal pact of five years ago set that rate at 5 percent for 2022.
  • Gross Income: financial intermediation, the rate increased this year from 5.50 percent to 8 percent. The City’s commitment was that this year the rate would be 5 percent.
  • Gross Income: transportation, the rate increased this year from 1.50 percent to 2 percent. The tax pact established that this activity should be exempt from the tax in 2022.
  • Gross Income: the Buenos Aires Government repealed the exemption for titles, bonds and bills, which are taxed with an aliquot of 8 percent.
  • The City Government created a tax on credit card expenses of 1.2 percent in 2021, which is maintained in 2022.

Despite all these increases, Rodríguez Larreta did not want to sign the new Fiscal Consensus, as 23 provinces did, arguing that he did not want to increase or create taxes. Strictly speaking, this agreement between the Nation and the provinces does not oblige any district to raise or create taxes.

The Fiscal Consensus is a federal agreement that seeks the implementation of a tax policy and administration articulated among all participating jurisdictions. The interior minister, Wado de Pedro, made it clear that “this Consensus does not increase taxes, but rather puts limits on current rates.” “In other words,” he clarified, “all the governors who participated in the signing are limiting themselves when it comes to raising taxes.”

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