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Milei Vows Major Tax Overhaul and Institutional Reforms After Labor Law Win

Milei Vows Major Tax Overhaul and Institutional Reforms After Labor Law Win
Argentina's President Javier Milei speaks during the opening session of the 144th legislative term of Congress at the National Congress building in Buenos Aires, Argentina, March 1, 2026. REUTERS/Agustin Marcarian

President Javier Milei told lawmakers Argentina needs a major tax overhaul and that his government will pursue further institutional reforms in 2026. He argued lower taxes should promote growth rather than simply fund government spending. Milei also said his administration will push for changes to the electoral system and revisions to the criminal code. The remarks came after Congress approved controversial labor reforms following Milei's strong showing in last October's midterm elections.

BUENOS AIRES — Argentina's libertarian President Javier Milei urged lawmakers to approve a sweeping overhaul of the country's tax system as he opened the new congressional session on March 1. He said his administration will press for further institutional reforms in 2026, including changes to the electoral system and revisions to the criminal code.

Milei Vows Major Tax Overhaul and Institutional Reforms After Labor Law Win
Argentina's President Javier Milei speaks during the opening session of the 144th legislative term of Congress at the National Congress building in Buenos Aires, Argentina, March 1, 2026. REUTERS/Agustin Marcarian

"We need lower taxes because the tax system must serve growth, not the revenue needs of whoever is in office," Milei said, reiterating his case for tax cuts and deregulation as tools to boost economic activity.

Milei Vows Major Tax Overhaul and Institutional Reforms After Labor Law Win
Argentina's President Javier Milei speaks during the opening session of the 144th legislative term of Congress at the National Congress building in Buenos Aires, Argentina, March 1, 2026. REUTERS/Agustin Marcarian

Milei indicated his government will also propose modifications to the electoral framework and updates to criminal statutes. The president's remarks came days after Congress approved contentious labor reforms that critics argue could make it easier for employers to lay off workers.

The labor vote followed a strong performance by Milei's allies in October's midterm elections, giving his administration greater momentum to pursue its agenda in the legislature.

Reporting by Maximillion Heath; Writing by Sarah Kinosian; Editing by Edwina Gibbs.

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