How the Federal Public Administration raids Revenue 2010
Author: Michelle Leonny
By order of the federal courts of Rio Curator, Cordoba, officials of the Federal Administration of Public Revenue (AFIP) yesterday raided a dozen units of the Bungee Corporation, the leading agro-exporter in Argentina, looking for anything that may prove alleged evasion of more than $ 1200 million over three years, between 2007 and 2009.
In the operational, involving, in addition to the AFIP, police forces and prison guards, retired documentation to different locations, both papers, which were packaged as computer information that was down to hard drives.
All tests will be sent to the headquarters of the federal courts of Rio Curator, where AFIP evasion complaint filed 18 months ago. In this city is the headquarters of the name of Bungee Argentina.
The raids included Bungee headquarters in downtown Buenos Aires, took sides on LaSalle Street and May 25, “and the main processing plants that the company has in Bhatia Blanca, San Nicolas, Rahall, cakes and other cities as well offices in different provinces.
Affix’s research on the earnings statement that Bungee did in 2007 found that the grain evaded payment of about $ 420 million through a process of triangulation of exports via Uruguay. Bungee declared its subsidiary Uruguayan exports, valued at prices well below those prevailing in the actual destinations of exports (China, India and other Asian countries).
In this issue, two aspects come into play. On one side is questioning the nature of the branch of Bungee in Uruguay. While the company argues that it is a subsidiary capacity to logistics and storage of goods, other than their own foreign trade in the AFIP say it is a simple office without any operational capacity.
The second aspect is that exports from Argentina to a branch operational capability can be recorded to a value lower than the market, so you pay less income tax by such foreign sales. Bungee did that when, according to the AFIP, it was not for this benefit because the branch did not pass the Uruguay exported goods (grains, oils and meals) but went directly to his final destination. The ill-gotten tax benefit (an underpayment of income tax) was as an extra for Bungee.
Thus, the grain monopoly would have accomplished centenary evasion of $ 420 million income tax in 2007 and similar numbers or more even in the two subsequent years by the increase in international prices of the products it sells.
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