Monday, March 25, 2013

Buenos Aires was the province which most lost in the distribution of shared 12 years

During the last twelve years was the province Buenos Aires who lost greater participation in the secondary distribution of federal revenue, rising from 23.8% he received in 2000 on total automatic transfers which received 19.2% in 2012. According to a report by consultancy Ecolatina, this decline is mainly linked with the fixed amount received by the Buenos Aires Income tax, consisting of 10% of total revenue up to a ceiling of $ 650 million, while the surplus is spreading to other provinces. Considering the growth of the economy in nominal terms, the share of district ruled by Daniel Scioli in previous drawdowns earnings fell 70% to 3.4% during the period, so the district authorities demanding an update that ceiling, setting? according to calculations Ecolatina?? imply about $ 13,000 million. The consultancy report also stressed that the Buenos Aires government also believes that the province is?? Discriminated?? by the rate of secondary partnership because it receives the fraction (20%) accounts for half of its weight in GDP (40%). ?? This should be integrated into a discussion of fiscal federalism in Argentina, and to respect vis-a-vis the proportions exacerbate regional inequalities and conflict with the reduction of regional asymmetries??, Raised Ecolatina. In this regard and although recognized as?? Valid?? the claim of Buenos Aires, the report stressed that the solution to the asymmetries of the Argentine fiscal federalism? pass not only to update the distribution of earnings or modify the secondary distribution, because only that way try horizontal imbalances (between provinces ) without regard to the consolidated loss of autonomy of the 24 jurisdictions??. In that vein, the consultant analyzed the proposals for provincial jurisdictions revert to the 15% who gave the Anses in the late?? 90 or order to ensure the full partnership of the check tax. These two proposals for the provinces imply an improvement of 8 percentage points in the overall tax burden (about $ 55,000 million in 2013), to the detriment of the nation. However, he warned that the nation Ecolatina seek offset this loss of revenue by cutting important part of the $ 42,000 million budgeted for non-automatic drafts and other financial assistance to the provinces, situation? According to the consultant? result in? zero sum game??, but with a gain greater provincial autonomy and frictions between different levels of government??. Source: CRonista Comercial

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