Sales Tax in Argentina remains uncertain. But first game prices increased a lot!

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The situation with prices in Argentina remains rather unclear. Not only we Europeans are surprised about the pricing and the topic with the taxes, also in Argentina the situation is not as clear as it should be. Here in Germany, for example, an unthinkable idea. If a measure is announced here on day X, it will also be implemented by everyone immediately and without compromise.

Actually the prices should be indicated already some weeks inclusive taxes, and/or somehow the taxes must be accounted for. However, this is not yet the case and there is a lot of contradictory information on when, if and how this will happen. Someone from Argentina said yesterday that the "sales tax" is only added for Argentinean credit cards or payments with them. But why should that be? In every other country with taxes (similar to VAT) the prices are also identical for everything and everyone. That would even be discriminatory (in a positive case for us)...

However, since Microsoft itself may not be able to keep track of the situation and purchases from us continue to be settled without taxes (whether by credit card or gift card), something else has to happen. I already noticed on June 14th that Anthem made a price leap upwards and so did Battlefield V and Madden 19 yesterday (each version of any game). The prices for both games in the Standard Edition were previously 949 ARS and were then raised to 1599 ARS each. A hefty price increase of approx. 59%!

If this continues in the next few weeks with other games, Argentina will soon be of no real interest to us and other countries (possibly with gift cards) will regain the first position in the prize table. Maybe another one with a good gift card supply?! It seems as if we are "destroying" the countries one by one, because it was the same with South Africa and Russia before. The prices were very low for a while and were then steadily increased. Meanwhile, these countries are settling somewhere in midfield.

By the way: Prices are usually set by the publishers, i.e. Microsoft itself is not responsible for price increases. I could imagine, however, that there are reference tables to suggest prices in country X that roughly match economic performance and average income.

And also interesting: Sony's digital PS4 games in Argentina are billed in US dollars right from the start and not in Argentinian pesos as Microsoft does. As a result, the PS4 games have always been much more expensive in Argentina. I.e. a price increase of the Xbox games is probably bearable, because the Argentines are already used to the prices of Sony's PS4.

Let's just see how the whole price situation will change in the next few weeks. Maybe more games will be drastically increased in price in the future, because the publisher still has to pay taxes on sales afterwards? It is possible.