AFIP regulates the cancellation power of tax and customs obligations of the bonds subscribed by importers (BOPREAL) and establishes the applicable exchange rate

Through General Resolution 5469, the Federal Tax Authority (AFIP) establishes that Series 1A, 1B and 1C of the securities ‘Bonos para la Reconstrucción de una Argentina Libre’ (BOPREAL) issued by the Central Bank of the Argentine Republic will have the power to cancel tax and customs obligations, with plus interest, fines and accessories, within the framework of the provisions of art. 1 of Decree No. 72/2023 (See Client Alert ‘Argentine Central Bank gives importers the possibility to subscribe securities that provide certainty, predictability and liquidity to their debt stock prior to December 12, 2023’).

To this end, the General Resolution establishes the following schedule for the calculation of instruments as payment in kind mechanism of overdue tax and customs obligations:

In addition, it establishes that the exchange rate applicable to determine the securities cancellation power will be the highest value in Argentine pesos computed on each reference date between: i) the average exchange rate established in Communication “A” 3500 of 3/1/2002 corresponding to the 5 business days prior to each reference date (wholesale exchange rate); and, ii) the implicit exchange rate resulting from averaging the purchase and sale of eligible public securities acquired with settlement in foreign currency with transfer in the local market and sold with settlement in local currency during the 5 business days prior to each reference date (exchange rate of blue chip swap transactions, colloquially referred to ‘Dolar MEP’). For the purposes of determining the eligible public securities, it will be taken the 3 species with the highest volume operated according to reports from ‘Bolsas y Mercados Argentinos’ (ByMA) in the sum of their pesos and dollars settlement in the local market during the 5 days, prior to each reference date.

The General Resolution provides that the BCRA will periodically inform to AFIP the technical value of the bonds or securities, calculated at the applicable exchange rate for the purposes of their use by taxpayers for the payment in kind of their tax and customs obligations.

Finally, the General Resolutions establishes that AFIP will regulate the procedure and conditions for the payment in kind of tax and customs obligations under the terms of Decree No. 72/2023.