The Argentine Congress passed the Executive Branch’s Bill into Law to amend the Excise Tax and Value Added Tax Laws.

The Congress passed Law No 26,539 ("the Law"), published in the Official Gazette on November 23, 2009, which amends the Excise Tax and the Value Added Tax Laws (please refer to Marval News # 86, August 31, 2009).

As for the Excise Tax, the Law establishes that the importation and sale of technological and computer goods will be subject to the Excise Tax at a rate of 17% (article 1 of the Law).

With respect to Value Added Tax, the Law raises the tax rate for certain telephony goods and recorder-transmitters from 10.5% to 21% (article 3 of the Law).

The Law increases tax benefits for the technology industry in the Province of Tierra del Fuego, which aims to attract new investment.

The Law became effective from the following day of its publication, on November 24, 2009. Nevertheless, the provisions contained in Articles 1 and 3 will be applicable as from December 1, 2009.