Overview
- President Javier Milei attacked the proposal on X, labeling Álvarez Agis a thief and alleging it would seize 10% of consumers’ spending.
- Álvarez Agis outlined a three-part package to eliminate the impuesto al cheque, apply a tax of up to roughly 10% on cash withdrawals, and reduce taxes for SMEs without increasing overall revenue.
- He said consumers could avoid the levy by paying electronically, which would push merchants to issue receipts and register activity.
- Vice Minister of Economy José Luis Daza warned the measure could unsettle banks, penalize heavy cash users, and prompt deposit flight given Argentina’s crisis history.
- No legislation has been introduced, and the clash remains a political dispute playing out on social media and talk shows rather than a formal policy process.