Cordoba in the 1930s: economic recession and fiscal reforms

Abstract

This article deals on changes instituted on tax regime in the province of Cordoba, in the decade after the economic crisis of 1929-1930. During the second half of this decade, tax regime due to assume deep reforms, with origin indifferent fields. New measures had their origin in national jurisdiction and made provincial politics change towards a new regime that had to unify taxes on consumption and sales. Those changes also stronged the application of taxes on revenues that implied not only a new system of taxation and revenues but also a different fiscal incomes distribution involving the functionalization of a form of co partnership between the Nation and the provinces. Since 1938 the government of Amadeo Sabattini produced a tax reform according to its agricultural economic policy, based on the argument that land should be of those who worked on it. According to these ideas and to avoid latifundia a progressive and proportional territorial tax was imposed to rural property in order to prevent owners absentism. Thus, tax pressure on companies and individuals with directories abroad that were exercising quality of absent was in-creased. In addition, it was sought to encourage fiscal policies to facilitate the subdivision of large domains through a reform on inheritance taxes.