Tuesday, November 13th 2012 - 22:53 UTC

Argentines and Brazilians pay the most tax in Latam, says OECD

Argentines and Brazilians pay the most tax in Latin America while Venezuelans pay the least, according to a report from the Organisation for Economic Co-operation and Development (OECD), released on Tuesday.

Furious Argentines banging pots to protest corruption, insecurity and taxes

Argentina and Brazil the region number three and one economies, were the only countries in the region to record a tax take of more than 30%, with 33.5% in Argentina and 32.4% in Brazil, according to the report.

Venezuela had the lowest tax take in Latin America at just 11.4% of national income, according to the report prepared by the OECD, Inter-American Centre of Tax Administrations and the Economic Commission for Latin American and the Caribbean.

The report showed the ratio of average tax revenue to national income edged up slightly from 19% in 2009 to 19.4% in 2010 in the 15 Latin American countries covered by the report.

But that average pales in comparison to the average tax take in all OECD countries which is 33.8%.

Mexico, the second largest economy in the region and one of only two Latin American countries in the OECD, was confirmed as having the OECD's lowest tax with 18.8%.

The data highlights the challenge Mexico faces in reaching parity even with its counterparts in Latin America in terms of tax revenue, which credit rating agencies have identified as a brake on the country's ambitions for a higher credit rating.

Enrique Peña Nieto, Mexico's president elect, has said tax reform will be a priority of his administration, which will take power on December first.

A senior tax expert with links to the federal government has said Mexico needs to raise its tax take by at least 6 percentage points of GDP to fund the PRI's spending plans.

 

7 comments Feed

Note: Comments do not reflect MercoPress’ opinions. They are the personal view of our users. We wish to keep this as open and unregulated as possible. However, rude or foul language, discriminative comments (based on ethnicity, religion, gender, nationality, sexual orientation or the sort), spamming or any other offensive or inappropriate behaviour will not be tolerated. Please report any inadequate posts to the editor. Comments must be in English. Comments should refer to article. Thank you.

1 schnack2 (#) Nov 14th, 2012 - 06:00 pm Report abuse
Argentina might have the highest tax rates, along with Brazil, in South America. But the Argentine people are notorious for scamming their gov't out of rightfully owed taxes. I suspect that the gov't of Argentina collects about 50% of what it should collect. It's all about taking care of yourself, and coming off looking smart and clever for stealing from the gov't. The Argies have a massive social breakdown that is complicated further by a social complex called the viveza criolla. They think it's funny to get away without paying their taxes. Sad, sad people. And I have family there, it's so sad to have to speak truthfully about my family's motherland. I want to be proud when speaking about them, but such is life.
2 Nostrolldamus (#) Nov 14th, 2012 - 10:34 pm Report abuse
You don't have family here. You are a rat, and rats and humans don't intermix.

That news should make your day, though.
3 British_Kirchnerist (#) Nov 14th, 2012 - 10:48 pm Report abuse
Hugo Chavez, Tea Party hero perhaps, with those levels of tax in Venezuela. Come on comrade, learn from your companeras =)
4 LEPRecon (#) Nov 15th, 2012 - 11:06 am Report abuse
@3 - BK

Venezula won't be able to hold tax at those levels if Chavez keeps giving all their oil revenue away, most notably to Argentina.

Chavez should concentrate on making the lives of the Venezulan people better, but improving infrastructure, schools and hospitals. That is what he was elected to do. Not to prop up the governments of other countries.

However, I'm not surprised Argentines pay more tax than anyone else in South America. CFK's shoe shopping trips aren't cheap you know.
5 British_Kirchnerist (#) Nov 16th, 2012 - 12:53 am Report abuse
#4 Well Chavez was actually just recently re-elected, you might have noticed, conclusively beating a guy whose rhetoric sounded very much like yours, so no, doing it your way was really not what he was elected to do!
6 schnack2 (#) Nov 17th, 2012 - 06:06 pm Report abuse
@2 Nostrildumass, your words are not words that hold value or weight. They are simply the products of a diseased mind. You have been made defective by the social breakdown in Argentina. The crime, the corruption, the inflation, the general breakdown of your country, have caused you to become diseased. You are sick. That your life is reduced to calling people names like “rats” is about feeding your disease. It's like an addiction that is eating you from the inside. Your situation is very dire, and I hope your lives improve down there.

And yes, I do have family near La Plata. What a silly name, La Plata. Everyone knows that the money in Argentina is worth as much as your silly words, Nostrildumass. I don't blame you for your diseased affliction, and for you acting out the only way you know how and the only way of which you are capable, you can't help yourself. You're hopelessly diseased and anything that originates in your diseased mind will be a defective and diseased product. What a miserable existence to have to carry on.
7 Axience (#) Nov 21st, 2012 - 11:48 am Report abuse
Are you using a messenger such as Skype, Whatsapp, ooVoo etc.? Participate in a survey and win iPad (mini)! This is not spam – you can contact us directly: Gleb Zhukov at gleb.zhukov@axience.com.

Please follow the link to sign-up for the survey: www.surveymonkey.com/s/5KC7T33

Commenting for this story is now closed.
If you have a Facebook account, become a fan and comment on our Facebook Page!

Advertisement

Get Email News Reports!

Get our news right on your inbox.
Subscribe Now!

Advertisement