Savings Accounts for the Repatriation of Funds

February 14, 2020. Within the framework of the Law on Social Solidarity and Productive Reactivation (Law No. 27,541 and its regulatory decrees), the Board of the BCRA established on February 7, 2020 (Communication A 6893) that repatriated financial assets must be credited in “Savings Accounts for the Repatriation of Funds—Property Tax, Law No. 27,541”, special accounts that will be opened only for this purpose.

These accounts must strictly be opened in the name of and payable to the order of the owner of the funds held abroad, and must be denominated in the foreign currency of the funds repatriated. The amounts deposited in foreign currency must be transferred from abroad, and the transferor and transferee must be both the account holder and repatriation reporting party.

It is worth noting that financial institutions must consider financial assets repatriated before February 7, 2020 (Communication A 6893) in the framework of Law No. 27,541. For that purpose, institutions must open “Savings Accounts for the Repatriation of Funds—Property Tax, Law No. 27,541” where the reporting parties will deposit their repatriated funds and, eventually, the amounts intended for making or renewing time deposits (Communication B 11952).

In addition, when a legal person makes a transfer from abroad and deposits foreign currency in “Savings Accounts for the Repatriation of Funds—Property Tax, Law No. 27,541” the provisions of Communication A 6893 will apply, provided that the payee is a natural person that shares equity interest with the payor.