Amended Rules on "Anti-Money Laundering and Terrorist Financing"

On March 30^th, 2022, Federal Tax Authority (AFIP, after its acronym in Spanish) issued AFIP Provision 52/2022, by means of which it modified its internal regulations to adjust the frequency of its ordinary sessions and to introduce the procedure for the preparation of the minutes to record those meetings.

Likewise, the Financial Information Unit (UIF, after its acronym in Spanish) issued Resolutions No. 50/2022 and 51/2022, published in the Official Gazette on April 13^th, 2022, regarding the  "Supporting documentation of the legal origin of funds" and the "Public Registry of Motor Vehicles", respectively.

AFIP Provision 52/2022

The Provision was preceded by Provision No. 350/2018 as amended, which created the Committee for the Prevention of Money Laundering and Terrorist.

Among the most important items of the Provision are the following:

• The Committee shall be chaired by the highest authority of AFIP and coordinated by the Director of the AML Office.
• The Committee shall be responsible for: a) approving the operational plan of the AML/TF Office in accordance with the policies established by the Financial Information Unit (UIF, after its acronym in Spanish); b) supervising AFIP's compliance with its role as a reporting entity; c) approving the management reports of the AML/FT Office.

With respect to the internal regulations, it is established that:

• Ordinary sessions shall be conducted at least twice a year at AFIP's headquarters. Previously, the Committee had to meet at least four times per calendar year.
• Extraordinary sessions may be conducted at the initiative of any of its members, following the procedure established for ordinary meetings.
• The meetings of the Committee will require attendance of at least six members or their alternates in case of absence or impediment. Decisions shall be adopted by simple majority of the present members.
• All matters discussed at each of the meetings shall be recorded in minutes by the AML/FT Office and shall be processed through the Electronic Document Management System. The approved minutes will be communicated to all Committee members as confidential documents and  later forwarded to the Document Management Office for their registration and subsequent return to the AML/FT Office for filing.

 

Finally, Provision 58/2020, which had repealed the authority of the AML/FT Office for the registration and filing of the minutes, is abrogated.

UIF Resolution No. 50/2022

The Resolution updates the minimum thresholds upon which reporting entities listed in Article 20 of Law No. 25,246, as amended and restated, are required to carry out reinforced control and due diligence requirements established by the applicable anti money laundering and terrorism financing regulations.

This measure aims to ease the management of money laundering and financing of terrorism risks for reporting entities, in accordance with the international standards promoted by the Financial Action Task Force (FATF).

Based on the above, the UIF updates certain thresholds set forth in UIF Resolutions Nos. 21/2011, 28/2011, 30/2011, 65/2011, 70/2011, 199/2011, 199/2011, 11/2012, 16/2012, 17/2012, 18/2012, 22/2012, 23/2012, 32/2012, 66/2012, 140/2012, 30/2017, 21/2018 and 28/2018.

UIF Resolution No. 51/2022

Given the similarities between companies that carry out capitalization and savings operations under Savings Plans by Circles or Closed Groups for the direct award of vehicles and special machinery that have their own engine and traction and Prior Savings Plans by Circles or Closed Groups for the award of sums of money for the acquisition of the same type of goods are in a situation similar than reporting entities covered by UIF Resolutions No. 127/2012 and 489/2013, it is appropriate to adjust the amounts provided therein, incorporating an updating mechanism similar to the one provided for in Resolution UIF No. 113/2021.

Hence UIF’s decision to repeal Resolution UIF No. 113/2021 without effect and to approve new amounts corresponding to UIF Resolutions No. 127/2012 as amended, 50/2013 as amended and 489/2013 as amended; together with the periodic and automatic update mechanism that will be applicable.