Javier Milei plans to eliminate 90 percent of Argentina's taxes

In Argentina, President Javier Milei has declared that his administration is finalizing a major tax reform aimed at eliminating 90 percent of existing taxes by the year 2025. This announcement was made during a speech delivered shortly after marking the one-year anniversary of his presidency, which began on December 10, 2023. Milei, a key figure in the libertarian movement, has taken this ambitious step in response to the severe economic crisis inherited from the previous socialist administration led by Alberto Fernández. Since taking office, Milei has implemented a series of extreme 'shock therapy' measures intended to stabilize the Argentine economy and prevent a hyperinflation scenario that has plagued the country for years. As part of his broader economic strategy, Milei's proposed reforms also focus on restoring tax autonomy to Argentina's provinces, which he believes will foster competition among them to attract foreign investments. According to Milei, this initiative will not only stimulate local economies but also allow provinces to exercise more financial freedom as they craft policies conducive to investment growth. Additionally, the reform will retain tax payments in pesos while allowing the use of other currencies for everyday transactions. This adjustment aims to facilitate a more flexible economic landscape, which Milei insists is necessary for Argentina's future prosperity. Furthering his agenda, Milei also announced the intention to dismantle existing currency control measures, enabling a 'free competition of currencies' where citizens can choose their preferred currency for transactions. This radical change is intended to alleviate some of the economic constraints currently affecting the nation. Moreover, Milei has voiced his commitment to breaking the restrictive foreign trade chains, suggesting initiatives to increase trade autonomy within the regional Mercosur bloc. He is also pushing for a Free Trade Agreement with the United States, which he believes is critical for Argentina's economic resurgence. Milei's administration has made it clear that despite the upcoming election year, there won't be any expansionary fiscal or monetary policies, diverging sharply from past practices that led the country to its current abyss. Instead, Milei is focused on an adjustment program aimed at reducing taxes and returning funds to the private sector as part of his efforts to foster a robust economic environment. He believes his measures and continued reforms will lead Argentina to a significant transformation, which he claims will be remembered as the first year of a 'new Argentina.' By emphasizing results over rhetoric, Milei is attempting to shift the public's perception of hope and economic stability in the country as they head towards 2024.