This Wednesday, May 9, the Chamber of Deputies passed Law No. 27,440 on Productive Financing, also known as the Capital Market Law. With the endorsement of Federal UNA and Argentina Federal (opposition), the ruling party managed to pass the law intended to stimulate the entry of foreign investments to the Argentine market. It is expected that the law will be enacted in the coming days.
The initiative had already been approved by the Chamber of Deputies in November 2017, but the Senate introduced amendments to the bill in its March 21 session. Among the amendments were the elimination of the exemption from the payment of income tax to share purchase operations, limits to the tasks of the National Securities Commission (N.S.C.) and the appointment of the N.S.C. president.
On the other hand, this week the Chamber of Deputies also passed the new Law on Defense and Promotion of Competition No. 27,442 (File No. 2479-D-2016) and the Protocol of Amendment to the Convention to avoid double taxation and prevent tax evasion between Argentina and Brazil (Law No. 27,441).
Opposition forces played thus a key role in reactivating the parliamentary agenda by enabling not only the final sanction of priority projects for the Government, but also the advancement on the discussion of the controversial bill to declare the emergency in tariffs. Chief of Cabinet Marcos Peña stated last Thursday that if it becomes law, it will be vetoed by the President.