In brief
By National Law No. 27,686, published on 19 September 2022, the “Regime for the Development and Strengthening of the Argentine Auto Parts Industry” was created, granting tax and customs benefits to manufacturers of vehicles that use national auto parts and to manufacturers of auto parts in Argentina.
The law sets forth the following tax and customs benefits: (i) accelerated amortization of capital goods and infrastructure works, excluding civil works not related to the industrial process; (ii) anticipated refund for the VAT corresponding to the investment made; and (iii) reduction of export duties to 0% up to 31 December 2031.
In focus
By National Law No. 27,686, published on 19 September 2022, the “Regime for the Development and Strengthening of the Argentine Auto Parts Industry” was created, granting tax and customs benefits to manufacturers of vehicles that use national auto parts and to manufacturers of auto parts in Argentina.
The law aims to boost the manufacturing and use in Argentina of auto parts to be used in cars, utility vehicles, trucks, chassis, buses, trailers, farming and road machinery, combustion and hybrid engines, and transmissions.
The law sets forth the following tax and customs benefits:
- Related to income tax ̶ accelerated amortization of capital goods and infrastructure works, excluding civil works not related to the industrial process
- Related to the value added tax (VAT) ̶ establishes the anticipated refund for VAT corresponding to the investment made
- Related to export duties ̶ reduction of export duties to 0% up to 31 December 2031
Click here to download the Spanish version.
