Argentina Signs Deal With Andorra To Track Down Hidden Funds
BUENOS AIRES -(Dow Jones)- Argentina has signed an agreement with Andorra to
exchange banking information in a push to track down Argentines with cash hidden
in overseas tax havens.
The agreement follows a similar deal signed with Monaco earlier this month and
is part of a drive to catch tax cheats after the Aug. 31 end of an amnesty
program for Argentine companies and individuals with hidden funds and unpaid
taxes.
Argentina expects to sign similar agreements with Costa Rica, Cayman Islands,
Bahamas, Dutch Antilles, Aruba, Barbados and Jersey, the national tax agency
AFIP said in a press release Monday.
According to various estimates, Argentines have well over $100 billion in
funds invested overseas.
The amnesty plan hauled in 32.8 billion pesos ($8.5 billion), surpassing
expectations, but still leaves a large amount of funds held by Argentines
overseas or suspected to be hidden from authorities.
Just under 170,000 companies and individuals took advantage of the amnesty
plan, paying ARS14.7 billion in debt owed to AFIP.
Almost 36,000 individuals legalized undeclared funds under the amnesty,
bringing in ARS18.1 billion hidden by individuals overseas.
Individuals were allowed to declare their hidden stashes and wipe the slate
clean by paying an 8% tax, or just 1% if the funds are invested in real estate
or capital goods. That compares with an income tax as high as 35% that would
have been paid on most of the funds.
-By Shane Romig, Dow Jones Newswires; 54-11-4103-6738; shane.romig@
dowjones.com
(END) Dow Jones Newswires
10-26-091710ET
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