Beneficiaries of the promotion of the knowledge economy in Argentina
In this second installment of the series of articles that we will publish on the subject of the promotion of the knowledge economy carried out by the new Law No. 27.506, we will focus on the beneficiaries of the promotion of the knowledge economy.
The Promotion of the Knowledge Economy Regime (hereinafter referred to as the RPEC), establishes in its article 4 that those legal entities subject to income tax for third category incomes will be beneficiaries of the promotion of the knowledge economy regime as long as:
(i) They are incorporated in Argentina or authorized to act within its territory;
(ii) They develop in the country, on their own and as their main activity, any of the activities included in the RPEC (see the previous article published in our Legal Blog: http://cspabogados.com.ar/en/knowledge-based-economy-in-argentina/);
(iii) They are registered in the National Registry of Beneficiaries of the Promotion of the Knowledge Economy Regime (which for this purpose is created by article 3); and
(iv) Meet at least two of the following requirements, in the terms and conditions to be determined by the regulation:
To prove the accomplishment of continuous improvements in the quality of its services, products and/or processes, or by means of a recognized quality standard applicable to its services, products and/or processes; To evidence indistinctly and/or jointly, the performances of expenditures in activities of: Research and development in the activities included in the RPEC by a minimum of 3% of its total turnover; and/or Training of the employees affected to the activities included in the RPEC by a minimum of 8% of the total payroll bill. To prove exports of goods and/or services arising out of the development of any of the promoted activities of, at least, 13% of the total turnover corresponding to those activities. When the activity promoted is that of professional export services, at least 70% of the total billing will have to derive from exports related to such activity; if the activity of export of professional services is developed by companies considered micro or small, under article 2 of Law Nº 24,4671, this percentage must represent 45% of the total turnover for the first 5 fiscal years as of the effectiveness of the RPEC. The main activity requirement will be considered fulfilled when the percentage of turnover in the promoted activities represents...