The ARCA agency confirmed an 11.78% increase in the Income Tax, which will take effect from January. With this adjustment, the exempt minimum rises to $2,280,700 gross, which means a net income of $1,892,937 without considering deductions for family or personal expenses.
For taxpayers with dependents, including a partner and two children under 18 years old, the income threshold before taxation is set at $3,024,494 gross, equivalent to $2,516,337 net. In the case of deducting only two children under age, the tax threshold is set at $2,654,165 gross ($2,202,957 net).
Regarding self-employed workers, the average monthly income range that will determine the taxation will be between $1,468,658 and $1,631,843 depending on the category.
Concerning retirees and pensioners, tax will apply when the exempt minimum is eight times the minimum wage, being $2,127,256 for January. It is important to highlight that this deduction will not apply to those with additional income or who are required to pay the Personal Property Tax for properties other than their primary residence.
The adjustments made by ARCA aim to adapt to the inflationary context and maintain some equity in the tax burden.
