Argentina has published new reform laws – Law of Bases and Starting Points for the Freedom of Argentines (“Ley de Bases y Puntos de Partida para la Libertad de los Argentinos”) and the Law of Palliative and Relevant Fiscal Measures (“Ley de Medidas Fiscales Paliativas y Relevantes”) in the Official Gazette on 8 July, 2024.
The first law introduces special incentives for large investments or ‘RIGI’. This programme offers customs, tax, legal, and foreign exchange benefits for investments surpassing USD 200 million for Argentine and international companies.
The second law establishes a new regularisation regime for tax, customs, and social security obligations and a new assets regularisation regime.
Earlier, Argentina’s lower house of Congress (House of Representatives) approved both laws on 28 June, 2024.
Regularisation regime for tax and customs
The regime offers waivers of a percentage of compensatory and punitive interest accrued. The percentage that will be forgiven depends on how quickly the taxpayer complies with the regime and payment terms.
These are as follows:
| Compliance time frame | Interest waived | Payment conditions |
| Within 30 calendar days | 70% | Payment in full or through a payment plan with up to 3 monthly instalments. |
| Within 31 to 60 calendar days | 60% | Payment in full or through a payment plan with up to 3 monthly instalments. |
| Within 61 to 90 calendar days | 50% | Payment in full or through a payment plan with up to 3 monthly instalments. |
| Within 90 calendar days | 40% | Payment through a payment plan longer than 3 months and meeting certain conditions. |
| 91 calendar days and beyond | 20% | Payment through a payment plan longer than 3 months and meeting certain conditions. |
Under the new regulations, 100% of fines will be waived regardless of the compliance period.
The regulations for the regularisation of tax and customs will go into effect on 9 July, 2024.
Assets regularisation regime
The assets regularisation regime applies to residents, companies, undivided estates, and former Argentina residents before 31 December, 2023. Assets can only be regularised if held by taxpayers as of 31 December, 2023. The regime includes flat tax rates on regularised assets based on the compliance time frame, which requires an initial declaration, advance payment, and final return and payment.
The tax rates are:
- A 5% rate will be imposed if the initial declaration and advance payment is made by 30 September, 2024, and the final return and payment by 30 November, 2024;
- A 10% rate will be imposed if the initial declaration and advance payment is made by 1 October, 2024, and 31 December, 2024, and the final return and payment by 31 January, 2025;
- A 15% rate will be imposed if the initial declaration and advance payment is made by 1 January, 2025, and 31 March, 2025, and the final return and payment by 30 April, 2025.
Additional conditions
- Advance payment must be at least 75% of the tax due;
- Regularised asset value up to USD 100,000 is exempt from taxes; and the excess amounts will be taxed at 5%, 10%, or 15%;
- Foreign account currency and capital gains may be exempt if transferred to a Special Account in an Argentine bank until 31 December, 2025;
- Early transfers to the Special Account in an Argentine bank are subject to a 5% withholding tax.
The provisions for the assets regularisation regime went into effect on Monday, 8 July 2024.
