A US official told Clarín this is the first time they acknowledge progress. It is an agreement that gives Massa hope because it would allow him to raise US$ 5,000 million a year.
The United States admitted for the first time that “has come a long way” in the negotiations of the automatic financial information agreement with Argentina, which will allow the laundering of Argentinean accounts in this country that would have an estimated US$100,000 million. In response to a query Clarion, a US government official said the agreement will be signed “pronto”.
This agreement, known as FACTA, is highly anticipated by Economy Minister Sergio Massa because, according to estimates from sources close to him who closely follow the negotiations, It will allow to collect an extra 5,000 million dollars per year in taxes on personal assets and profits, a more than appetizing sum for times when urgent funds are needed to balance the accounts and meet the IMF’s goals.
A US government official told Clarion: “We believe that much progress has been made in our negotiations with Argentina on a FATCA Model 1A Reciprocal Intergovernmental Agreement, as well as with respect to the necessary revisions to the document, and we look forward to signing it soon.”
Until now, the consultations by the AFIP to the United States are made on a case-by-case basis, upon request. The Government seeks that they can be carried out automatically, that is, without it being necessary to treat each query in a particular way. If it becomes effective, each year the US will send the information of all the accounts of Argentines in this country and the Argentina of the Americans.
When he was on tour in Washington in September, Massa demanded in all the offices the automation of this agreement. He spoke on the issue at the White House, the State Department and at the Treasury with Secretary Janet Yellen, arguing that it is not in America’s interest to be seen as a “den of tax evaders.
Although from Economy they were always very optimistic that the agreement was going to be signed, it is the first time that from the United States government they admit that it is advanced and that it is about to be signed soon.
The agreement has already been working on a technical level for some time. Last week there was a virtual meeting between officials from the AFIP, Economy and the United States Treasury and, according to reports, they agreed that the details are ready to move forward with the signing. The power has even been processed so that Massa can sign the agreement with the hope that it will come out soon, even in November.
The Government anxiously awaits that signature and seeks to be approved before the end of the year so that it can enter into force on January 1, 2023. If delayed, it would only take effect in January 2024, too far away for Argentina’s pressing needs.
Most of the accounts, sources that closely follow the negotiations told Clarín, They are based in Miami and New York.
The agreement would not imply any previous money laundering offer, as they had said in Economy. “There have already been enough money launderings, now let them pay”, they had pointed out from the Massa environment.
Aware of the importance of the extra money that can come from this sector, Massa sought to speed up the signing by all means. It was even one of the most important topics of the dinner that he had on Wednesday with the influential Democratic senator Bob Menendezchairman of the House foreign relations committee, along with three other Republican lawmakers, Rob Portman, Richard Burr and Ben Sasse.
The legislators would have promised to express the support of the firm before the government of Joe Biden.