While waiting for the package of laws to be discussed in extraordinary sessions – which includes the reversal of the Income Tax – Máximo Kirchner presented a project that proposes the creation of a fund to finance the provinces and municipalities.
The text, with 10 articles, proposes the constitution of the Federal Fund for National Development (FOFESO), to which 60% of the sums that the State receives as soybean export duties will be allocated.
According to estimates by the Mediterranean Foundation, the collection of soybean export duties by 2024 will be 4,423 million dollars. This would bring the Fund to $2.654 billion.
"It is a way to show that it is possible to help compensate the provinces with the correct distribution of a tax that is already collected, without harming anyone," said the Frente de Todos legislator's entourage.
"To propose that 'there is no alternative' in the face of every decision, as the national Executive Power wields day by day to justify its measures, and as the president constantly repeats, may be due to the president's identification with Margaret Thatcher who coined the phrase 'There is no alternative'," Máximo K. states in the text.
And he adds: "To argue that the only way for the provinces to improve their collection is through the replacement of profits, is to ignore that the fall in the population's consumption, to give just one example, will also have an impact on the resources that can be shared."
In terms of distribution, Buenos Aires would benefit the most
By the form of distribution, the Province of Buenos Aires would be the most benefited and would receive 871 million dollars, followed by Córdoba (275 million dollars) and Santa Fe (220 million dollars).
The proposed distribution proposes 10% distributed equally among all provinces; 35% according to the population of each province; 35% distributed according to the percentage of households with Unsatisfied Basic Needs (NBI) in each jurisdiction; and another 20% distributed among the provinces based on the total tons of soybeans produced in each jurisdiction.
In addition to Maximo, the bill is signed by other legislators from the Frente de Todos bench. Among them, Carlos Heller, Emiliano Estrada, Gabriela Estévez, Blanca Osuna, Graciela Parola, Mario "Paco" Manrique, Pablo Carro, Tanya Bertoldi, Paula Penacca, Christian Alejandro Zulli, Sergio Palazzo, Carolina Yutrovic, Itai Hagman and Julia Strada.