Last modified: 18/03/2025 17:15

Corporate taxation

	Rate
Corporate income tax rate	25% to 35%
Branch tax rate	25% to 35%
Gambling and Digital Platforms	41,5%

Residence: Are considered residents in Argentina: a) individuals-argentine or foreign- living permanently in Argentina taking into account Income Tax rules on that regard. Individuals living for more than 6 months in the country during the calendar year are considered residents with some exceptions to said rule for people residing abroad servicing in foreign countries for Argentine public organisations and the like and b) Companies formed in Argentina and Permanent Establishments in the Argentine territory.

Basis: Residents pay this tax on a worldwide basis taking into account taxable incomes derived from Argentine source and from abroad. Nonresidents pay this tax on their taxable incomes derived from Argentine source. Income tax is collected through a tax withholding system that take in consideration different rates according the type of income payed.

Taxable income: Companies & Permanent Establishments The determination of the taxable income basis starts taking into account the annual financial statements net income or profit and making the different adjustments in order to determine taxable earnings or losses. Some of this adjustments are as follows: Concepts considered taxable and no taxable for the Income Tax rules, included or not included in the financial statements. Tax inflation report considering de tax rules on that regard and the variations on the consumer prices index during the fiscal year. Transfer prices report in case it is applicable for operation among related companies. The amount obtained as a result of the above mentioned work is the taxable basis subject to the income tax scale rate above mentioned in case of profit or represent a carry forward losses for following years. Note: tax returns must be filed annually and sent to the Fiscal Authority (AFIP) within the term of five months after the closing date of the financial year.

Significant local taxes on income: Turnover or Gross Income Tax This tax is levied by the 24 Argentine jurisdictions (23 provinces and the Buenos Aires City). The tax is applied to goods, services and other activities without of any tax credit given for taxes paid during the monthly fiscal period. Rate are many depending on the activity and jurisdiction and they vary a lot from 0,1% up to 15%, in general.

Alternative minimum tax: There is no mínimum tax alternative for companies

Taxation of dividends: Dividends and other profits derived from argentine companies or partnerships: Paid to another Argentine company or partnership are not subject to income tax. Paid to resident individuals and beneficiaries abroad: are subject to a special rate of 7%. The payer must apply the corresponding tax withholding.

Capital gains: Capital gains shall be included in the taxable P&L and subject to general rates, but has specific rules to determine the deductible cost after inflation adjustment.

Losses: Tax losses can be carry-forward for five fiscal years

Foreign tax relief: There are not foreign tax reliefs

Participation exemption: No participation is exempt

Holding-company regime: There are no holding company regimes

Tax-based incentives: The taxes above mentioned has several exemptions and non-taxable items but tax incentives are established in especial laws, normally. Main are: Mining, Knowledge Based Services and SMEs

Group relief/fiscal unity: There are no group reliefs

Small company/alternative tax regimes: There are no small companies tax regimes

Corporate taxation: compliance

Tax year: Tax period could close at the end of any month, elected by the entity in the incorporation act but cannot exceed 12 months except in the year of incorporation.

Consolidated returns: Not aplicable

Filing and payment: Shall submit the returns in the fifth month after closing date, payment can be done up to three instalments (with interest). There are ten payments in advance that the entity does during the year and the deduct them on the balance to pay. Audited Financial Statements shall be submitted in the sixth month after closing date.

Penalties: There are minimum penalties for late filling, but interest rates over 5% per month are applied on late payments

Rulings: In Argentina taxpayers have different resources to consult the Tax Authorities opinion, such us: Binding Queries, Interpretation Resolutions and the like. Besides, Chambers and Professional Entities meet frequently with Tax Authorities to clarify different tax issues and make presentations claiming to solve some specific tax problems.

Taxation of individuals

	Rate
	Federal Income Tax
Income tax for Board Members, Directors and Corporate Administrators (or similar roles) salaries and fees or other income of individiuals, not included in Cedular tax on wages	Rates form 5% to 35%
Cedular Tax on wages	Rates from 27% to 35%
Capital gains profits derived from financial operation, sell of shares, sell of real estate and others are subject to a 15% fix rate	15%
Capital gains of sale of real state acquired before the 1st of January of 2018	1,5%
Personal property tax	Rates from 0,5% to 2,5%

Residence: Individuals-argentine or foreign- living permanently in Argentina taking into account Income Tax rules on that regard. Individuals living for more than 6 months in the country during the calendar year are considered residents with some exceptions to said rule for people residing abroad servicing in foreign countries for Argentine public organizations and the like

Basis: Net incomes – after personal deductions – are subject to a progressive scale rate from 5% up to 35%.

Taxable income: Taxable income; All income residing in the country are taxed on the total amount of their income obtained in the country or abroad. The sums duly paid under similar taxes on their activities abroad can be considered a payment on account of this statutory tax up to the limit of the tax burden increase originated by adding the income obtained abroad. Non-residents pay taxes only on the income derived from Argentine sources The law establishes the following four income categories: land income, capital income, company income, business income, and personal income. The tax return reflects the net income for each category, and, after a deduction is made on the sums permitted by law, the profits or losses are determined subject to tax.

Capital gains: Profits derived from financial operation, sell of shares, sell of real estate and others are subject to a 15% fix rate. Note: the transfer of ownership for real estate located in Argentina acquired before the 1st of January of 2018 are subject to a Real Estate Transfer Tax of 1,5% applied on the gross amount of the sale. According to that, said operations are no taxed by the income tax.

Deductions and allowances: Deductions and allowances: There are some deductions and allowances but all are caped and cannot exceed the maximum amount: In house personnel, Life & Retirement Insurance, medical insurance, Healthcare, medical and paramedical fees, Donations, Mortgage Interests, Rent, Scholarship and expenses related to the service rendered. individual Deductions are different in the case of Cedular tax on wages than on Income Tax

Foreign tax relief: The is no foreign tax relief but there is a specific regime for individuals that not do operations over determined amounts named Monotributo with reduced rates.

Taxation of individuals: compliance

Tax year: Calendar year

Filing and payment: Tax returns must be filed annually and sent to the Fiscal Authority (AFIP) within the term of six months after the closing of the calendar year. Employees are subject to a monthly income tax withholding from their employers. The employer must submit and annual affidavit regarding the employee income and withholding, and depending on the income amount the employee must submit a personal affidavit.

Penalties: There are minimum penalties for late filling, but interest rates over 5% per month are applied on late payments

Rulings: In Argentina taxpayers have different resources to consult the Tax Authorities opinion, such us: Binding Queries, Interpretation Resolutions and the like. Besides, Chambers and Professional Entities meet frequently with Tax Authorities to clarify different tax issues and make presentations claiming to solve some specific tax problems.

Withholding taxes

Type of Payment	Resident recipients		Non-residents recipients
	Company	Individual	Company	Individual
	Rate (%)	Rate (%)	Rate (%)	Rate (%)
Rent (real state)	6	6	21	21
Rent (goods)	6	6	14	14
Sell of Goods	2	2	17,5	17,5
Services	2	5 to 31	Please see breakdown below
Royalties	6	6	12,25 – 28	12,25 – 28
Interest	6	6	35	35
Information agencies			3,5	3,5
Image and sound transfered from abroad, movies, production or relaties on them			17,5	17,5
Professionals, artist, and sportsman acting in the country for less than 6 month				24,5
Board members and advise rendered from abroad			31,5	31,5
Other income or services rendered from abroad			31,5	31,5

Branch remittance tax: There is no specific tax, as the Branch is already subject to Income tax. Must pay 7% on dividends as any other entity.

Anti-avoidance legislation

Transfer pricing: Transfer pricing: Transfer prices report are applicable for operations among related companies, with law rate jurisdictions or with no collaboration agreement sign with Argentina, (related or not). There is also a regime to report imports and exports to non related entities.

Interest restriction: Restrictions applies to the deduction on interest on loans obtained locally or abroad with related parties

Controlled foreign companies: Country by Country reports applies to entities related to Groups with revenues over Euros 750 Million

Hybrid mismatches: There are specific compliance transfer pricing reports in case of intermediaries There are specific treatments for individuals controlling companies abroad on the income obtained by them

Disclosure requirements: There is an international tax planning report that shall be submitted on operations and or structures utilizad to reduce tax paid

Exit taxes: Only for businesses at the same rates of income tax or dividends, depending on the type to remittance. The reimburse of capital invested is not taxable.

General anti-avoidance rule: Anti-avoidance rules are included in Income Tax Law 20.628 https://www.argentina.gob.ar/normativa/nacional/ley-20628-17699 and in Law 25345. https://www.argentina.gob.ar/normativa/nacional/ley-25345-65015

Digital services tax and Other significant anti-avoidance legislation: Specific taxes applies to digital services rendered from abroad as those are subject to income tax (on source) VAT and Turnover tax in main local jurisdictions.

Value-added tax/Goods and services tax

Type of tax: The VAT is levied upon the consumption of good, services rendered, importation of some goods and services and some rights. Digital services renderer from abroad was included within the tax scope since 2018. The tax debit generated for the sale of goods, services rendered and others taxable items invoiced have a tax credit obtained for the goods purchased, services acquired and so on. The balance of said tax debit and the tax credit if it is positive shall be paid to the Fiscal Authority (AFIP) and in case to be negative shall be a tax credit for the next fiscal months. The export of goods and services are non-taxable by the VAT. Also there are many activities exempt of VAT.

Standard rate: 21%

Reduced rates: The VAT general rate is 21%, but some services rendered to the people like electricity, gas or water are subject to a 27% rate and a 10,50% rate is applicable mainly for primary activity.

Registration: Companies and individuals providing servicies or selling goods in the country shall register in VAT. There is a specific regime for individuals that not do operations over determined amounts named Monotributo. Some non for profits organizations shall not register for VAT

Filing and payment: Filling and payment: Monthly, in the following month (day 20 days approximately). Some SMEs have a 60 days extension for payments, not for fillings.

Social security contributions

	Employer	Employee
	Rate (%)	Rate (%)
Social Security	up to 29%	From 17% to 20%
SMEs can apply for reduced rates

Self-employed

Monthly fixed payments, actualized by inflation every quarter (autonomous regime).

Other taxes

Capital duty: The tax corresponding to shares or participation on capital of companies and/or partnerships included in the Argentine “General Partnership Law 19550” rules, owned by individuals and/or undivided inheritance domiciled in the country or abroad and/or companies, partnerships and the like domiciled abroad, shall be determined and paid by the argentine companies above mentioned at the rate of 0,5% calculated on the amount of the net accounting assets of the company or partnership at the end of the fiscal year and said companies or partnerships could recuperate the tax paid from the shareholders´ or partners´ corresponding share part.

Immovable property taxes: Individuals and undivided inheritance domiciled in the country are subject to this tax for properties located in the country and abroad owned at the end of the calendar year. Individuals domiciled abroad and undivided inheritance bases therein are subject to this tax for properties located in the country. The tax corresponding to shares or participation on capital of companies and/or partnerships included in the Argentine “General Partnership Law 19550” rules, owned by individuals and/or undivided inheritance domiciled in the country or abroad and/or companies, partnerships and the like domiciled abroad, shall be determined and paid by the argentine companies above mentioned at the rate of 0,5% calculated on the amount of the net accounting assets of the company or partnership at the end of the fiscal year and said companies or partnerships could recuperate the tax paid from the shareholders´ or partners´ corresponding share part. The Personal Property Tax has an amount non-taxable and the balance is subject to a scale rate of 7 steps starting in a rate of 0,5% up to a rate of 1,75% applied on properties located in the country. In the case of properties located abroad after the deduction of the amount no taxable the balance is subject to a scale rate of 4 steps starting in the rate of 0,7% up to the rate of 2,25%. Real Estate and Vehicles Taxes: This tax is levied by the 24 jurisdiction on the value of lands, buildings, cars and other vehicles taking into account its fiscal value. The have a fix rate, normally.

Transfer tax: No specific tax besides the previously mentioned for capital gains

Stamp duty: This tax is levied by the 24 Argentine jurisdiction. Taxable are contracts, the sale of real estate, bank monetary operations (credits and others). Rates depending on the jurisdiction and for instance in the Buenos Aires City are as follows: – Contracts: 1%. – Real estate: 3,6% – Cars transfers: 3% – Bank Monetary Operations: 1,2%. There are a many operations exempt of said tax or non-taxable.

Net wealth/worth tax: Please see tax on personal property above detailed

Inheritance/gift taxes: Some provinces apply taxes on inheritance on assets located in their jurisdiction

Other: Turnover or Gross Income Tax This tax is levied by the 24 Argentine jurisdictions (23 provinces and the Buenos Aires City). The tax is applied to goods, services and other activities without of any tax credit given for taxes paid during the monthly fiscal period. Rate are many depending on the activity and jurisdiction and they vary a lot from 0,1% up to 15%, in general.

Tax treaties

Argentina has signed and in force many double taxation treaties and several international bilateral agreements to exchange fiscal information. In order to get a more detailed information you could use the site of our tax authority entering to: https://www.afip.gob.ar/convenios-internacionales/materia/convenios-para-evitar-la-doble-imposicion.asp