TAX AFFIDAVIT

Meaning:

It is known as Argentine Income Tax on Freight and amounts 3.5 % of total freight earned. Payment of this tax can be voided by the issuance of an Affidavit proving that Freight Beneficiaries are tax payers in their countries of residence

Authentications are often called “Legalizations”/ ”Incumbencies”/ ”Certifications”

An Apostille is a form of Authentications appropriate to countries which signed the Hague Convention in 1961 abolishing the requirement of legalization for Foreign Public Documents

Reciprocal agreements:

In order to avoid paying double taxation, there are in force reciprocal agreements between Argentina and:

Belgium, Bolivia, Bosnia, Brazil, Canada,, China, Colombia, Croatia, Cuba, Denmark, Ecuador, Finland, France, Germany, Greece, Herzegovina, Iran, Israel, Italy, Japan, Macedonia, Netherlands, Norway, Peru, Poland, Panama, Paraguay, Portugal, Slovenia,, Sweden, United Kingdom, U.S.A., Uruguay, Venezuela, Yugoslavia (Serbia) and all the Republics of the Ex USSR

** Reciprocal tax agreement between Argentina and Spain and Chile expired last 1st January 2013 **

How to issue:

Please remember that it is possible to include all your fleet under one document (own and/or chartered tonnage). The form must carry Notary Public Signature Certification made out in accordance with the Apostille Procedure.

To issue said document properly, please take a look to the following example.

Impact:

The Tax Affidavit is valid for 15 months, after said period of time a new one must be issued.

If the required documentation is not obtained the tax must be paid. In case of non presentation of Tax Affidavit, vessel’s agent is the party responsible for collecting and depositing the 3.5% of total gross freight in local tax bureau offices