DISQUS

VentureBeat: Argentine president gambles on tech taxes, faces tough crowd

  • P. Moehring · 6 months ago
    Already today, imported tech products like computers and digital cameras are prohibitively expensive in Argentina. When I lived in Argentina, the prices for electronics were higher than back home in europe, while basic living expenditures were roughly a fourth - corresponding with local income. An additional tax on foreign tech products would arguably worsen the situation both for companies in the tech business (other than the producers based in TDF) and (probably much more so) for private consumers who already have a hard time affording computers and the like. Don't let me start on education, as universities and schools can hardly afford upgrading their labs already. I can understand why Argentines oppose it heavily.
  • Rod Quigley · 6 months ago
    "AFARTE"... is this a belated April fools joke?
  • Mukombo · 6 months ago
    It would be if the name was "AFANARTE", with an N, which would mean, "stealing you"...
  • X · 6 months ago
    Thanks for the article. It helps more than you think

    And your source is right, “This bill will never be approved. Forget it,” ;)
  • Mukombo · 6 months ago
    Reading this story you can understand better why such a rich country is in fact so poor...
  • Vinod Sreeharsha · 6 months ago
    thanks for the comments. Rod, no joke on AFARTE. its real. P Moehring, good points. not sure when you were here, but in the past few years living expenditures have also risen for argentines. not as bad as the country's storied hyperinflation of the past, but enough to have a real impact on people's lives, across all classes. and many economists and most citizens think the government here has been under-reporting inflation. that makes it tougher for people starting companies here to forecast their costs. that being said, many argentines continue to start companies here and do quite well as they are quite accustomed to quixotic government behavior and figuring out how to survive it. in fact this week, there is an entrepreneurship conference in buenos aires that i am sure will be well-attended.
  • GB · 6 months ago
    It is important to note that the bill now in Congress will apply an excise tax to IT products, and considers them "luxury items."
  • Fabian Schonholz · 6 months ago
    If you looked at this as a carrot and stick; there is no carrot, it is all stick. That has historically been the problem with Argentina, along with a unitarian government ideology around Buenos Aires and the Federal Capital and institutionalized corruption.

    No kidding, such a rich country being so poor.
  • Emanuel Cisterna · 6 months ago
    Actually, the capital of Tierra del Fuego province is Rio Grande, where the electronics factories are located... Ushuaia is just a touristic city.
    Thanks for giving space to this matter in your blog.
    Best regards.
  • GB · 6 months ago
    The capital of Tierra del Fuego is Ushuaia. See http://es.wikipedia.org/wiki/Ushuaia
  • Steve Mawson · 6 months ago
    How beautiful and HOW appropriate ! The government of Cristina is FARTING all over the country and the people, robbing us all blind whilst pretending to be interested in "Argentinas, Argentinos, amigas, amigos," while being more interested in brown nosing Hugo Chavez's rear end when not shopping for new handbags and matching smoks. What a shame for a country that had / has SO MUCH PROMISE.
  • un argentino mas · 5 months ago
    "AFANARTE" es sinonimo de "ROBARTE" (stealing you) la presidenta kirchner es muy odiada por todo lo que esta haciendo con el pais! she is a very bad president, she travel for all countries... while the peapole have'nt food.
  • M · 5 months ago
    This bill is a disgrace. Luckily, I don't think it will be passed.

    If anything, the "success story" of Tierra del Fuego should be an incentive for more tax breaks in other provinces of the country, not for further tax hikes!

    Still, I'd like to point out that Argentina's cellphone penetration (99.8%) and internet penetration (~50%) rates are on the same level as European countries like Italy or France, so while considerably expensive, technology is still not as much of a luxury as the article (or the government) would seem to imply.
  • jonatan · 5 months ago
    The president is absolutely right. is trying to strengthen the national economy and make it independent of imports.
    imports were not lost money, the only way to manipulate the market within a democracy are taxes, and whether the imported cell will be more expensive, the domestic production will be even cheaper than now. I think the excellent proposal.
  • Lucas · 5 months ago
    You speak no sense. First of all.. this would be posible if there was a strong industry to replace all the imports of thse goods. By placing this taxes lots of comerce will close cause they wont be able to sell at the same rate cell phones, pc parts, etc,etc.

    If this bill is applied it will take like 3/5 years (in argentina mabye 50 years) until "real" industries start porducing goods to replace.

    Besides with the new Gas and electricity "fines" (400% raise) it is already hard to pay for basic service.

    So, dont come and defend a president who was voted by the poor because all the money goes to "social plans" which goverment trades for "support" and to gain votes.
    This goverment is a lie and it is bringin the country into disgrace.
    Energy crisis decalred like 8 years ago and still no even 1 dolar invested to improve this situtaion.. as consecuence.. 8 years of raise in Electricy and gas billas + fines to those who excede the maximum they decide.

    So, Jonatan.. please.. do not defend whats imposible to defend.. everyone knows that her goverment is pure bullshit.
  • Juan · 5 months ago
    Total agree with Lucas, nothing else to say
    There is people who dies of dengue and teh president still sit in his fukin chair and buying bags.

    PARA JONATAN:

    Vos por quien votaste en als ultimas elecciones?
    Crees que la argentina anda tan bien como lo dice en INDEC o otras org del Estado?
    Estamos en un pais con cada dia mas pobreza, robos, enfermedades como el degue pero el goierno no hace NADA, vos crees q este impuesto va a salvar al pais?
    Segun la presidenta las nuevas fabricas en Tierra del Fuego van a aportar 2000 puestos labolares, sabes cuantos van a tener que cerrar sus negocios por la incapacidad de comprar mercaderia extranjera? o vos crees que las computadoras se empezaran a fabricar despues de 2 diaas de la aprobacion de la ley?
    Te lo digo por experiencia, aca en la linea sur hay getne que muere congelados por las temperaturas bajo cero o vive en casas ehchas con carton, palos y chapa en el medio del desierto, te parece eso justo a vos? Critina o el gob ahce algo pro ellos?
    Crees que esta propuesta ayuda al pais pero la verdad que hay temas MUCHO mas importantes que arreglar, como salvar las vidas de las miles de personas que viven en condiciones mucho peores de las que te podes imaginar.
  • Nelson Javier Chavez · 3 months ago
    This bitch is destroying our country step by step, i dont know how can ANYONE be so USELESS managing a country, thanks for the article, let the voice be heard !!!!!!!
  • rogermax · 3 months ago
    The raising of taxes levied on technology widens the digital gap between those who have more and those who have less.

    Last week the Argentine Chamber of Deputies (the lower house of the bicameral legislature) passed a bill which increases internal taxes along with value added tax to a series of technology products, including (but not limited to) computers and mobile phones.

    In the next few days this bill will be subject to revision by the Senate where an approval would turn it into law. After being enacted, the final price on these goods will be finally placed out of reach of most of the population in Argentina.

    We feel that the only way to progress and improvement is through more and better education. In this sense, the lack of access to technology means running the risk of exponentially increasing the number of digital illiterates, to whom "later" might be too late in a world where this skill means competitive advantage.

    As bloggers and otherwise users of every single item affected by this bill, but first and foremost, as citizens, we cannot stand still and in silence. That is why we feel it is crucial to explain and illustrate why this is so important to our government, and the population as a whole. This tax will hold back growth, our integration into the global community and most important will lead future generations to see technology as a luxury and not a right.

    It was our idea to show how things would be, if we went back 10, 20 or 30 years back in time. Pictures that show not only the amazing progress done in the last three decades but also a clear image of how important it is not to fall behind, but move along as a society head to head with the rest of the world.

    www.noalimpuestazo.com
  • Jorge George · 3 months ago
    Thanks for your post on this subject. I think that it's ridiculous to increase the price of the products that aren't even built in my country, it just makes no sense. Tomorrow we'll see if our voice was heard.
    Thanks again.
  • Migue · 3 months ago
    This woman knows how to get hated really...
  • Martin · 3 months ago
    We're fucked! We have a useless president and she has no idea how to handle a country. Me quiero ir de Argentinaaaaa!!!!! trabajo en telecomunicaciones y acepto vivir en cualquier otro pais! :)
  • Guido · 3 weeks ago
    We're fucked up, don't put a single coin in Argentina, it's just useless.