The Federal Administration of Public Revenues (AFIP) has published General Resolution 4332 of 8 November 2018, which includes several amendments to General Resolution 4130 regarding Country-by-Country (CbC) reporting. It enters into force from November 12, 2018. The main amendments are given below:

  • The local filing requirement applies if ultimate parent entity’s (UPE) tax year starts on or after January 1, 2018, and no qualifying competent authority agreement is in effect between the United States (US) and Argentina or if the US MNE does not submit its CbC report in another jurisdiction, that complies with the requirements established by the local rules.
  • This resolution aligns with OECD’s terms and requires multinational enterprise (MNE) groups to complete a local file if, by the due date for filing the CbC report, the jurisdiction of the ultimate parent entity (UPE) has a tax treaty or tax information exchange agreement (TIEA) in force with Argentina, but does not have a qualifying competent authority agreement in effect.
  • This modifies the process of determining whether an MNE exceeded the EUR 750 million threshold for CbC reporting. MNEs must take the exchange rate of January 2015 into consideration, instead of the exchange rate of 31 January 2015, as stated in the original rule.
  • The replacement of Article 6 of the original resolution, including that the CbC report must be submitted in accordance with the specifications defined in the user’s manual available on the AFIP CbC reporting microsite and that the submission systems are active from 9 November 2018.
  • First notification applies to all entities that are part of an MNE Group, regardless of whether the MNE group exceeds the EUR 750 million threshold and second notification applies to entities that are part of an MNE Group that exceeds the EUR 750 million threshold; and are not subject to the local filing of the CbC report.
  • The Resolution extends the first and second notifications that were or are due during calendar year 2018 to be filed or amended with no penalties up to December 31, 2018. Penalties apply for failure to notify about CbC reporting. In accordance with this resolution, these penalties apply to the local file.