Salta council pushes federal fuel tax compensation plan

The Salta City Council will debate a resolution requesting national legislators to advance a Federal Compensation Regime for fuels in Argentina's northern provinces. Council member Gustavo Farquharson said the proposal aims to cut the national tax burden on liquid fuels sold in Salta, Jujuy, Tucumán, Catamarca, Santiago del Estero, La Rioja, Chaco, Corrientes, Formosa and Misiones, and to channel tax revenues toward maintaining and developing provincial road infrastructure. The initiative seeks either a total or partial reduction of the fuel tax and mechanisms to reduce fiscal asymmetries that, according to Farquharson, favor Buenos Aires over the north. The council hopes the federal regime will bring greater equality of resources and improve road conditions, which they describe as “destroyed” since the current government took office.