The income of the Province of Córdoba from national resources (basically co-participation) has been losing against inflation for seven consecutive months.
From October of last year to April 2024, month by month, shipments draining from the Nation lost between 8% and 27% – in real terms – compared to the equivalent periods of the previous year.
However, the same numbers that have been painting income returns red since before Governor Martín Llaryora arrived at the provincial government in May, seem to have improved.
That’s right, comparing the daily transfers accumulated this month with those of May 2023 (with the same number of business days until May 22), there was a nominal increase of 478%, well above inflation, which until April in Córdoba advanced at 289%. In real terms, it is a phenomenal 50% which is a far cry from the negative numbers of the previous months.
Did the context change? Has the level of activity, which explains 90% of the co-participation, increased so much so far in May? Did Milei open the tap to the governor? No, nothing like that, it’s about a “little summer” in the middle of autumn and not much more than that. “It’s Profits,” they explained from the Honeycomb.
Co-participation of the Nation to Córdoba in May
The issue is like this, on May 13, the annual presentations of the sworn declaration of fiscal years closed in December 2023 of companies, companies or sole proprietorships and trusts began to expire (according to the termination of the Cuit). The rest of the companies also had to make the corresponding advances. On the 15th, meanwhile, the obligations of the additional fee for remittances abroad from permanent establishments and the presentations of the undocumented departure regime expired.
For these sectors, in 2023, Earnings expired in June, so in the year-on-year comparison, the difference in favor of this May is large, even discounting inflation.
“Gains for human beings, the applications are not yet available because the Afip is waiting for the ‘base law’ to be approved; Only then are they going to set the expiration date, it will surely expire in July or August, at least,” explained Nicolás Boglione, a Córdoba tax official.
Due to federal tax sharing (basically VAT and Profits), in the six business days between May 15 and 20, $262 billion were transferred to Córdoba, more than in all of April, for example.
The improvement in May revenue is not very good news for Llaryora. On the one hand, because everything indicates that in June the negative trend would return.
On the other hand, because he promised the state unions to improve the salary proposal based on income. In February, consulted in the middle of the negotiation with teachers, the Governor said: “It is a proposal that increases the salary, not in proportion to inflation, but it is what we can do given the resources we have.” And he added: “But also with the commitment that later, when the situation improves, we will improve the salaries of all Córdoba teachers.”
