Argentina

Individuals resident in Argentina are taxable on worldwide income and may obtain a foreign tax credit for taxes paid on income from foreign sources.

Non-residents and foreign beneficiaries are only taxable on their Argentine-source income.

Personal income tax (PIT) rates

Employees with tax applied on highest incomes

For fiscal year (FY) 2024, the government established by Law a new ’cedular regime‘ that will be applied on the ’highest incomes‘, understood as those that exceed the equivalent of 180 times the SMVM as a non-taxable minimum.

Under this scenario, employees, retirees, and pensioners (not applicable to directors) must pay taxes only when their gross monthly salary is greater than 15 times the SMVM at the time of tax determination. This new regime will apply from FY 2024. In addition, a progressive scale is incorporated, whose rates will be established between 27% and 35%, and the value of the SMVM will be updated twice a year, in January and July.

Self-employed workers (including members of boards of directors)

The following PIT rates are applicable as of 1 January 2024:

Gross income tax

Gross income tax is a provincial tax applicable to self-employed individuals on gross earnings. The average tax rate is 4% in the Federal Capital (the City of Buenos Aires), and similar rates are applicable in the different provinces. Professionals who do not perform their activity in the form of a company are exempt from the gross income tax in the City of Buenos Aires. The tax is paid by filing monthly tax returns.

Foreign beneficiary tax

Foreign beneficiaries working temporarily in Argentina for no more than six months during the year, who earn income through either the visual or performing arts or other profession, are subject to income tax on these earnings at the rate of 24.5% (35% on assumed profit of 70% of gross income) to be withheld by the local payer. Other tax rates could apply depending on the type of income to be paid.