The Income Tax Law provides for the automatic updating, in January of each year, of certain values -included in the non-taxable minimum from which payment begins- by the interannual variation of the RIPTE (Average Taxable Remuneration of Stable Workers (RIPTE), corresponding to the month of October of the year prior to the adjustment.
Thus, the variation of the RIPTE of October 2021 compared to October 2020 was 50.624645%, explains Sebastián M. Dominguez, partner of SDC Asesores Tributarios.
Thus, the new minimum non-taxable Earnings, which was $ 167,678.40 it will be $ 252,564.99 from next month.
What’s more, the gross salary from which you start to pay this tax is increased from $ 150,000 last year, at $ 225,936.97.
In September, the $ 150,000 had been exceptionally increased to $ 175,000, but the 50.62% increase is taken from the base value of $ 150,000.
“If we take into account that the variation in interannual inflation to October 2021 was 52.10%, we can already see that taxpayers will be hurt because the value adjustment that will be made in the Income Tax will be for a lower percentage “, explains the tax specialist.
“In our opinion, in an inflationary context like the current one, the update of the values should be carried out semi-annually due to the variation of the Consumer Price Index (CPI) of the immediately preceding semester “, Domínguez believes.
“In this way the income tax would be taxed on real and non-nominal profits,” he clarifies.
These are the 2021 values updated by the RIPTE. Now the AFIP must publish the official values on its website:
(1) Personal deductions for workers and retirees living in the Patagonian area increase by 22%. (2) By Decree 620/2021 it was updated as of September 2021 and until December 2021 to $ 175,000. (3) By Decree 620/2021 it was updated as of September 2021 and until December 2021 to $ 203,000. (4) By Decree 620/2021 it was updated as of September 2021 and until December 2021 to $ 175,000.