New Foreign Exchange Regulations

Author:Ms Lorena Bartomioli
Profession:Brons & Salas
 
FREE EXCERPT
  1. Communication "A" 5274

    Communication "A" 5274 issued by the Central Bank of the Argentine Republic ("BCRA") became effective on January 31, 2012. As a consequence thereof, some changes were made in the system in force for the purchase of foreign currency by Argentine residents in the Single Free Foreign Exchange Market, (Mercado Único Libre de Cambios, "MULC") to cancel debts from imports. In particular, such amendments are supplementary to the provisions set forth in Resolution 3252/2012 issued by the Federal Administration of Public Revenue (Administración Federal de Ingresos Públicos, "AFIP"), whereby a sworn statement must be filed prior to the issue of a purchase order.

    Accordingly, Argentine residents who intend to access the MULC for the purpose of purchasing foreign currency to honor obligations for imports of goods, shall file such sworn statement and obtain the relevant approval by AFIP.

  2. Communication "A" 5295

    Communication A 5295 issued by the BCRA became effective on April 3, 2012. It amended the system applicable to remittances abroad to pay services, income and current transfers.

    Communication A 5295 sets forth more stringent formal requirements to access the foreign exchange market at the time of payment/maturity of the obligation that must be honored. Thus, for example, in case of services that have no direct relationship with the activity performed by the payor, an authenticated copy of the underlying agreement on which the relevant obligation is based shall be submitted and, additionally, some specific requirements must be satisfied regarding the information to be included in the external auditor's report about the existence of the obligation it is intended to satisfy.

    In case of payment for information and computing services, professional and technical entrepreneurial services, royalties, patents and trademarks, premiums for loans of players, copyrights, personal, cultural and recreational services, payments of commercial guarantees for exports of goods and services, exploitation rights of foreign movies, video and audio, transfer of technology services under Law No. 22,426 (except for patents and trademarks) BCRA's prior authorization shall be required for payment purposes when the beneficiary is a natural or corporate person: (i) either directly or indirectly related to the local debtor, or (ii) residing or organized or domiciled in such domains, jurisdictions, territories, or associated states of null or low...

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