Argentina

CIT rate is set as follows (indexed as of 2024):

• Taxable income from ARS 0 to ARS 34,703,523.08: 25%.
• Taxable income from more than ARS 34,703,523.08 to ARS 347,035,230.79: ARS 8,675,880.77 + 30% on the amount that exceeds ARS 34,703,523.08.
• Taxable income from more than ARS 347,035,230.79: ARS 102,375,393.08 + 35% on the amount that exceeds ARS 347,035,230.79.

Legal entities resident in Argentina are subject to tax on Argentine and foreign-source income. Resident legal entities are able to claim any similar taxes actually paid abroad on foreign-source income as a tax credit. The tax rate applies on net income determined on a worldwide basis.

A withholding tax (WHT) on dividend distributions and branch profit remittances is established at a rate of 7% (applicable for profits as of 2018).

The 2017 tax reform abolished the so-called ‘equalisation tax’ for profits generated in taxable years starting on or after 1 January 2018. The equalisation tax was a WHT levied at a 35% rate on dividend distributions in excess of tax earnings. The equalisation tax, however, remains applicable on dividend and branch profit distributions made out of earnings accumulated prior to 1 January 2018 and which were in excess of tax earnings as of the year-end prior to the relevant distribution.

Argentine-source income (e.g. royalties, interests) received by foreign entities is subject to WHT in full and final settlement at source (see the Withholding taxes section).

Local income taxes

For a description of the local (jurisdictional) tax on gross revenues from the sale of goods and services, see Turnover tax in the Other taxes section.