The governor of Buenos Aires province, Daniel Scioli, today confirmed that the government will provide tax relief for the farmers most affected by widespread flooding in the area.
Speaking on Mitre radio, Scioli declared that “obviously we are not going to tax those producers whose farms are completely flooded.” He added that the provincial government would examine the region on a “case by case basis” to analyse the extent of the damage and determine the appropriate level of support.
After heavy rains at the start of September and throughout much of August, 17 departments in the largely rural province have declared a state of emergency due to flooding that has affected an estimated 3.5 million hectares of farmland. According to Scioli, the rainfall in the first eight months of 2012 has already doubled that registered throughout the whole of 2011.
In May, Scioli signed a decree to begin a process of revaluing rural land in the province, paving the way for the provincial legislature to pass a tax reform bill that increased the levy on property for many in the rural sector.
The measure drew strong criticism from the sector, but producers affected by the recent floods will be exempt from some of these payments.