The minister of Economy, Infrastructure, and Energy of Mendoza, Martín Kerchner, revealed that “97 companies have presented their investment proposals” and assured that, if all are approved “1,450 jobs would be generated”.
The goal of the plan, launched by the Government of Mendoza, is to motivate the business sector to make investments that will generate legitimate employment.
To generate this incentive, the State created a $ 1 billion tax bonus. Such bonus will be allotted to the investing companies and later, they can be used to pay gross income taxes.
Example: If a company partakes in the program and makes an investment of $ 2 million, it would receive, on behalf of the Government of Mendoza, $ 2 million in state-owned securities. Later, with the aforementioned securities, the company could pay gross income taxes during the following five years.
Thus, the State will be returning to the investors the total amount invested through the deduction of provincial taxes.
The program was well received by the business sector, but not everyone will be able to effectively participate in the exchange of “investments for bonuses”.