A new decree signed by the Head of the Buenos Aires government, Jorge Macri, established an important reduction in amounts that Buenos Aires residents must pay the judicial representatives to regularize debts with the City in services such as ABL, Patents and Gross income. The measure limits the fees of these agents to 20% of the original debt. Jorge Macri announced this initiative accompanied by the Minister of Justice, Gabino Tapiathe City Attorney, Martin Ocampoand the general coordinator of the Government Administration of Public Revenues (AGIP), German Krivocapichin the communal headquarters 12.
“The objective of these measures is to find more balanced, fairer mechanisms, so that neighbors can catch up with the debts they have with the City, especially in the economic context we live in,” Macri explained.
Currently, in the City of Buenos Aires there are around 657 thousand trials initiated by the AGIP that involve judicial representatives. According to the Head of Government, “the culture of paying and complying with taxes in Buenos Aires is very high, but in times of crisis, many residents find themselves with debts that generate complex and unfair mechanisms, particularly with regard to debts.” little”. The decree establishes a significant change in the fee system, replacing the previous scheme, which could generate considerable distortions. Previously, fees were based on Tariff Measurement Units (UMA), which increased disproportionately.
“For example, a neighbor with a debt of $50 thousand had to pay up to $235 thousand due to the update of the UMA,” said Macri. “Now, with the new system, the percentage that will be paid to the president is twenty%. So, if someone owes $50,000, they will pay $10,000, which is reasonable.”
Main changes to the decree:
- Limit on fees: the fees of the representatives may not exceed 20% of the total debt.
- Debt unification: all debts of a neighbor will be grouped into a single judicial claim, assigning a single representative.
- Increase in minimum amounts: The minimum amount of judicializable debts is raised to $200 thousand in the cases of Real Estate/ABL and Patents, 34% more than the current limit of $148,900.
- Forgiveness of minor debts: A bill will be sent to the Legislature to forgive low value debts that would be uneconomical for the City to enforce.
Practical example of the new system
A neighbor with a patent debt of three years (2020, 2021 and 2022) $50 thousand per year he previously faced three different trials, with minimal fees for each one. With the new decree, you will now only have to pay total fees for $120 thousand, simplifying and considerably reducing the amount. Jorge Macri stressed that this change is part of the commitment assumed with the neighbors to simplify and streamline procedures. Furthermore, the new regulations are part of a broader strategy of state simplification to help Buenos Aires residents regularize future debts. The decree has already been published in the Official City Gazette.
