The Government sent to the Congress a bill so that Chinese companies operating in Argentina do not pay taxes.
In the agenda sent by the Executive Power for the extraordinary sessions, the Government included the validation of an agreement with the Chinese regime by which a Chinese company that pays taxes in its country will not do so before the Argentine tax authorities.
The Government included in the agenda sent to Congress for the extraordinary sessions a project to endorse an agreement signed with the Chinese regime in 2018 that avoids double taxation. For such reason, if the initiative is approved, Chinese companies that pay taxes in their country will not do so for their activity developed in Argentina.
At the end of Friday, the Executive Branch announced the list of projects that it is submitting to Congress for immediate consideration. It included the "
Bill by which the Agreement between the Argentine Republic and the People's Republic of China for the Elimination of Double Taxation with respect to Income and Wealth Taxes and the Prevention of Tax Evasion and Avoidance and its Protocol, signed in the Autonomous City of Buenos Aires on December 2, 2018″ was approved.
The tension in this relationship increased in the last few days with the announcement of China's decision to put on hold the activation of a new tranche of the
currency swap, an operation that would allow the Argentine Central Bank to use those yuans to pay for imports or
to convert them into dollars and be able to intervene in the foreign exchange markets, options that would help to alleviate its financial situation.
Milei himself had made a special request to Xi Jinping about the swap in a letter sent just two days after taking office in the Casa Rosada. However, the Chinese regime decided to put the agreement on stand-by and block the funds that would serve as a lifeline to the Argentine Executive to help it through its delicate finances.
The agreement was put on hold despite the early efforts made by Milei in the first hours of his administration. The President received Wu Weihua, Vice President of the People's Assembly of China, in his office on December 11, one day after taking office.
But that gesture of goodwill was not enough.
Beijing has reportedly taken a negative view of the progress made this week by the Ministry of Defense in the acquisition of the American-made F-16 fighters held by Denmark. That transaction received U.S. approval last October, when the Pentagon also pledged to provide a package of weapons, training, logistical support and spare parts for those aircraft.
After his meeting with Wu, Milei sent a letter to Xi requesting his support and the extension of the monetary exchange to meet international commitments. The summit came as a surprise to more than one: during the campaign, the President himself had made more drastic promises regarding his relationship with Beijing, which were later moderated by the current Foreign Minister Diana Mondino.
After his inauguration, it was the head of the regime who made the first move, congratulating the Argentinean on his new challenge at the head of the Executive Power. Milei thanked the letter and received his delegation immediately. But in the leadership of the Chinese Communist Party (CCP) they believe that this is not enough for such an important financial commitment. In addition to the discomfort caused by the possible agreement for the F-16, in China
they expect a visit or a meeting between the two presidents.
(deepl.com/de/translator)
En el temario enviado por el Poder Ejecutivo para las sesiones extraordinarias, el Gobierno incluyó la validación de un acuerdo con el régimen chino por el cual una compañía de ese origen que tribute en su país no lo hará ante el fisco argentino
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