Overview
- The tax rollback, which took effect Wednesday, removed levies on autos, cell service, insurance, luxury goods, boats and aircraft.
- Automakers cut list prices by as much as about 25%, with Ford’s Mustang GT dropping to US$65,000 from US$90,000 and Mercedes-Benz’s AMG GLE 53 Coupé falling to US$179,900.
- Claro, Movistar and Personal confirmed bills no longer include the internal-tax surcharge, though the impact is small because it had applied only to calls and texts rather than data.
- Advisers estimate a 2026 revenue loss near 0.1% of GDP, or about $379,396 million, with provinces and Buenos Aires City giving up roughly $219,140 million and the national government $149,768 million.
- Selective consumption taxes now target a narrower set of goods such as tobacco, alcoholic drinks, beer and some soft drinks, and farmers also get a new VAT break on electricity used for irrigation.