Adjustment of income tax breaches not permitted by the tax administration and tax criminal liability

Abstract

Disputes between taxpayers and the tax authorities regarding the interpretation of tax laws in
Argentina are common.
In the case analyzed in this legal document, the conflict is simple.
For the tax authorities, income tax regulations do not allow the calculation of tax losses in
real terms or adjusted for inflation. The taxpayer maintains the opposite and has serious
arguments for this, such as respect for property rights, tax capacity, and equality.

Based on this conflict, we wonder whether the taxpayer who has updated tax losses can be
charged with evasion or fraud.
In this regard, we conclude that, according to the applicable sanctioning principles, such
conduct by the taxpayer does not merit sanctioning, neither in the criminal nor in the
infraction sphere.