ESTUDIO CONTABLE RG

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PROFIT TAX LAW

 

Text Ordered by Decree 649/97 (BO 06/08/97), Annex I, with subsequent amendments.

 

TITLE I

 

GENERAL DISPOSITION

 

SUBJECT AND OBJECT OF THE TAX

 

Article 1 - All the profits obtained by human, legal persons or other subjects indicated in this law, are reached by the emergency tax provided in this regulation.

 

The undivided estates are taxpayers according to what is established in article 33.

 

The subjects referred to in the preceding paragraphs, resident in the country, are taxed on the totality of their earnings obtained in the country or abroad, being able to compute as payment on account of the tax of this law the sums actually paid for analogous taxes, about its activities abroad, up to the limit of the increase of the fiscal obligation originated by the incorporation of the profit obtained abroad.

 

Non-residents are taxed exclusively on their Argentine source earnings, as provided in Title V and complementary regulations of this law.

 

(Article replaced by Article 1 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that the compose, see Article 86 of the Reference Law)

 

Art. 2 ° - For the purposes of this law are profits, without prejudice to the provisions specially in each category and even if they are not indicated in them:

 

1) yields, rents or enrichments susceptible of a periodicity that implies the permanence of the source that produces them and their habilitation.

 

2) the returns, rents, profits or enrichments that comply or not with the conditions of the previous section, obtained by those responsible included in article 69 and all those derived from the other companies or companies or sole proprietorships, except that, not being of the taxpayers included in article 69, activities indicated in paragraphs f) and g) of article 79 will be developed and these will not be complemented with commercial exploitation, in which case the provisions of the previous section will be applicable.

 

3) the results from the alienation of amortizable personal property, regardless of the subject that obtains them.

 

4) the results derived from the sale of shares, representative securities and certificates of deposit of shares and other securities, quotas and social participations -including shares of mutual funds and certificates of participation of financial trusts and any other rights over trusts and contracts similar-, digital currencies, Securities, bonds and other values, regardless of the subject that obtains them.

 

5) the results derived from the alienation of real estate and the transfer of rights over real estate, whatever the subject that obtains them.

 

(Article replaced by Article 2 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that the compose, see Article 86 of the Reference Law)

 

Art. 3 - For the purposes indicated in this law, sale, exchange, exchange, expropriation, contribution to companies and, in general, any act of disposition by which the domain is transferred for consideration will be understood as alienation.

 

In the case of real estate, the alienation or acquisition, as appropriate, will be considered when the purchase or other similar agreement is valid, provided that possession or, as the case may be, is obtained or, in its absence, at the time it is act takes place, even if the deed of ownership has not been celebrated. (Paragraph substituted by Article 3 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that the compose, see Article 86 of the Reference Law)

 

Art. 4 - For all the purposes of this law, in the case of taxpayers who receive goods by inheritance, bequest or donation, the value of the tax that such assets had for their predecessor at the date of entry into the estate will be considered as acquisition value. of those and as date of acquisition the latter.

 

If the aforementioned value can not be determined, the value of the place of the asset as of the date of this last transfer shall be considered as acquisition value in the manner determined by the regulations. (Paragraph replaced by Article 4 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that the compose, see Article 86 of the Reference Law)

 

(*) ( Note : - With respect to the allusions made by law, regarding the updating of various concepts, the provisions of the Convertibility Law No. 23,928 and its regulatory and complementary regulations must be followed.)

 

SOURCE

 

Art. 5 - In general, and without prejudice to the special provisions of the following articles, Argentine source profits are those that come from goods located, placed or economically used in the Republic, from the realization in the territory of the Nation of any act or activity likely to produce benefits, or events occurred within the limit of the same, without taking into account nationality, domicile or residence of the owner or parties involved in the operations, or place of conclusion of contracts.

 

Art. 6 - The proceeds from secured credits with real rights constituted on goods located in the national territory shall be considered as Argentine source of income. When the guarantee was constituted with goods located abroad, the provisions of the previous article shall apply.

 

Art. 7 - Except as provided in the following paragraph, the proceeds from the holding and disposal of shares, quotas and social participations -including common investment fund shares and certificates of participation of financial trusts and any other rights over trusts. and similar contracts-, digital currencies, Securities, bonds and other securities, will be considered entirely Argentine source when the issuer is domiciled, established or settled in the Argentine Republic. The representative securities or certificates of deposit of shares and other securities, shall be considered as Argentine source when the issuer of the shares and other securities is domiciled, incorporated or settled in the Argentine Republic, regardless of the entity issuing the certificates , the place of issuance of the latter or the deposit of such shares and other securities.

 

(Article replaced by Article 5 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that the compose, see Article 86 of the Reference Law)

 

Art. ... - Argentine income will be considered as the results arising from rights and obligations arising from derivative instruments and / or contracts, when the risk assumed is located in the territory of the Argentine Republic, a location that should be considered configured if the The party that obtains said results is a resident in the country or a permanent establishment included in paragraph b) of Article 69. (Expression "stable establishment" replaced by "permanent establishment", by Article 79 of Law N ° 27.430 BO 29 / 12 / 2017. Validity: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that comprise it, see Article 86 of the Reference Law)

 

However, when the different components of one of the aforementioned instruments or a set of them are linked, indicate that the instrument or the set of instruments do not express the real economic intention of the parties, the determination of the location of the source shall be carried out in accordance with the principles applicable to the nature of the production source that should be considered in accordance with the principle of economic reality, in which case the treatments provided by this law for the results originated by it will be applied.

 

(Article incorporated after Article 7, by Law No. 25,063 , Title III, art.4, paragraph a). - Validity: As of 12/31/98.)

 

Article 8 - The profits from the export of goods produced, manufactured, processed or purchased in the country, are entirely from Argentina source being included the remission of them made through subsidiaries, branches, representatives, purchasing agents or other intermediaries of persons or entities from abroad.

 

The net profit will be established by deducting from the sale price the cost of such goods, transport and insurance expenses to the place of destination, commission and selling expenses and expenses incurred in the Argentine Republic, as necessary to obtain the taxable profit.

 

On the other hand, the profits obtained by exporters from abroad through the simple introduction of their products in the Argentine Republic are from a foreign source.

 

When the operations referred to in this article were carried out with related persons or entities and their prices and conditions do not conform to market practices between independent parties, they shall be adjusted in accordance with the provisions of article 15 of this law.

 

Likewise, the operations included in this article that are carried out with human persons, legal entities, assets of affectation and other entities, domiciled, incorporated or located in non-cooperating jurisdictions, will not be considered to be adjusted to the practices or normal market prices between independent parties. or low or no taxation, assumption in which the rules of the aforementioned article 15 must be applied (Paragraph replaced by Article 6 of Law N ° 27,430 BO 12/29/2017) Valid : the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that comprise it, see Article 86 of the Reference Law)

 

In the cases in which, in accordance with the above provisions, they are import or export operations of goods in respect of which the international price - of public and notorious knowledge - can be established through transparent markets, stock exchanges or similar, it will correspond, unless proof to the contrary, to use said prices for the purpose of determining the net gain of Argentine source.

 

In the case of transactions other than those indicated in the previous paragraph, entered into between independent parties, the taxpayer -exporter or importer- must provide the Federal Public Revenue Administration with the information it has in order to establish that the declared prices are reasonably adjust to the market, including the allocation of costs, profit margins and other data that the agency considers necessary for the control of such operations, provided that the annual amount of exports and / or imports made by each responsible exceeds the sum that, in general, the national Executive Power will determine.

 

(Article replaced by article 1 of Law N ° 25.784 , BO 22/10/2003 - Validity: From the day of its publication in BO)

 

Art. 9 - It is presumed, without admitting proof to the contrary, that companies not incorporated in the country that are engaged in the transportation business between the Republic and foreign countries, obtain for this activity net profits of Argentine source, equal to TEN PER ONE HUNDRED (10%) of the gross amount of the freight charges for tickets and charges corresponding to those transports.

 

Likewise, it is presumed, without admitting proof to the contrary, that the TEN PERCENT (10%) of the sums paid by companies settled or incorporated in the country to foreign shipowners by time or travel charters, constitute net profits of Argentine source.

 

The presumptions mentioned in the preceding paragraphs will not apply in the case of companies incorporated in countries with which, by virtue of international conventions or treaties, the tax exemption has been established or established.

 

In the case of companies that are not incorporated in the country that are engaged in the business of containers for transportation in the Republic or from there to foreign countries, it is presumed, without admitting proof to the contrary, that they obtain net profits from Argentine sources for this activity. equal to TWENTY PER CENT (20%) of the gross income originated by such concept.

 

The agents or representatives in the Republic, of the companies mentioned in this article, will be jointly and severally liable with them for the payment of the tax.

 

The profits obtained by companies incorporated or located in the country that deal with the businesses referred to in the preceding paragraphs, are considered entirely from Argentina, regardless of the places among which they carry out their activity.

 

Art. 10 - It is presumed that the international news agencies that, through a retribution, provide them to persons or entities resident in the country, obtain for that activity net profits of Argentine source equal to TEN PER CENT (10%) of the remuneration gross, whether or not they have an agency or branch in the Republic.

 

The EXECUTIVE POWER is authorized to set general percentages lower than the one established in the previous paragraph when the application of that may result in results not in accordance with reality.

 

Art. 11 - Revenue from insurance or reinsurance operations that cover risks in the Republic or that refer to persons who, at the time of entering into the contract, resided in the country, are from Argentina.

 

In the case of assignments to foreign companies-reinsurance and / or retrocessions-it is presumed, without admitting proof to the contrary, that the TEN PERCENT (10%) of the amount of the premiums ceded, net of cancellations, constitutes net gain of source Argentina.

 

Art. 12 - Argentine earnings shall be considered the remunerations or salaries of members of boards of directors, councils or other organizations -of companies or entities constituted or domiciled in the country- that act abroad.

 

Likewise, fees or other remuneration arising from technical, financial or other advice provided from abroad shall be considered as Argentine source.

 

Art. 13 - It is presumed, without admitting proof to the contrary, that fifty percent (50%) of the price paid to producers, distributors or intermediaries for the exploitation in the country of foreign films, transmissions of radio and television broadcast from the outside and any other operation that involves the projection, reproduction, transmission or diffusion of images and / or sounds from the outside, regardless of the medium used.

 

The foregoing shall also apply when the price is paid in the form of a royalty or similar concept.

 

(Article replaced by article 7 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that the compose, see Article 86 of the Reference Law)

 

Art. ... - Indirect alienation of assets located in the national territory. Argentine source earnings are those obtained by subjects not resident in the country from the sale of shares, quotas, shares, Securities convertible into shares or social rights, or any other right representative of the capital or assets of a legal entity, fund , trust or equivalent figure, permanent establishment, affectation patrimony or any other entity, that is constituted, domiciled or located abroad, when the following conditions are met:

 

a) The market value of the shares, participations, quotas, Securities or rights that said transferor has in the entity incorporated, domiciled or located abroad, at the time of the sale or in any of the twelve (12) months prior to the alienation, comes at least thirty percent (30%) of the value of one (1) or more of the following assets of which it owns directly or through another or other entities:

 

(i) shares, rights, quotas or other participation certificates in the ownership, control or profits of a company, fund, trust or other entity incorporated in the Argentine Republic;

 

(ii) permanent establishments in the Argentine Republic belonging to a person or entity not resident in the country; or

 

(iii) other assets of any nature located in the Argentine Republic or rights over them.

 

For the purposes of this subsection, the assets of the country shall be valued according to their current value in place.

 

b) The shares, participations, quotas, Securities or rights alienated - by themselves or jointly with entities over which they have control or relationship, with the spouse, with the partner or with other taxpayers linked by kinship ties, in an ascending line, descending or collateral, by consanguinity or affinity, up to the third degree inclusive- represent, at the time of sale or in any of the twelve (12) months prior to the sale, at least ten percent (10%) of the assets of the entity from abroad that directly or indirectly owns the assets indicated in the preceding paragraph.

 

The Argentine source gain referred to in this article is that determined in accordance with the provisions of the second paragraph of the fourth paragraph of the fourth article without added number after Article 90 but only in proportion to the participation of the goods in the country in the value of the alienated shares.

 

The provisions of this article shall not apply when it is reliably demonstrated that these are transfers made within the same economic group and that the requirements established by the regulations are met for that purpose.

 

(Article s / n incorporated after Article 13 by Article 8 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions in each one of the Titles that compose it, see article 86 of the Reference Law)

 

Art. 14 - The branches and other stable establishments of companies, persons or entities of the foreigner, shall carry out their accounting registrations separately from their parent companies and other branches and other stable establishments or subsidiaries (subsidiaries) of these, carrying out, where appropriate. the necessary rectifications to determine your Argentine source tax result.

 

In the absence of sufficient accounting or when it does not accurately reflect the net gain of Argentine source, the FEDERAL ADMINISTRATION OF PUBLIC REVENUES, self-sufficient entity within the scope of the MINISTRY OF ECONOMY AND PUBLIC WORKS AND SERVICES, may consider that the entities of the country and of the External to that referred to in the previous paragraph form an economic unit and determine the respective net profit subject to the tax.

 

Transactions between a permanent establishment, referred to in the article without added number following article 16, or a company or trust included in subparagraphs a), b), c) and d) of article 49, respectively, with persons or entities linked, domiciled or located abroad will be considered, for all purposes, as concluded between independent parties when their benefits and conditions conform to normal market practices between independent entities, except in the cases provided for in subparagraph (m) of the Article 88. When such benefits and conditions do not conform to the practices of the market between independent entities, they will be adjusted in accordance with the provisions of Article 15. (Third paragraph replaced by Article 9 of Law N ° 27.430 BO 29/12 / 2017. Validity: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles. that compose it See art. 86 of the Reference Law)

 

To the extent that the permanent establishment in the country carries out activities that directly or indirectly allow the parent company or any related entity from abroad to obtain income, the corresponding share must be assigned to that party according to its contribution and in accordance with the methods established in said article 15. (Paragraph incorporated by article 9 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each one of the Titles that compose it See article 86 of the Reference Law)

 

In the case of financial entities that operate in the country, the provisions set forth in article 15 shall apply for the amounts paid or credited to their parent company, cofilial or cosucursal or other entities or related companies incorporated, domiciled or located abroad, in terms of interest, commissions and any other payment or accreditation originated in transactions made with them, when the amounts do not adjust to those that had been agreed by independent entities in accordance with normal market practices. The FEDERAL ADMINISTRATION OF PUBLIC REVENUES, an autarchic entity within the scope of the Ministry of Economy and Public Works and Services, may, where appropriate, request the information of the Central Bank of the Argentine Republic that it considers necessary for these purposes.

 

(Article replaced by Law N ° 25.239 , Title I, art.1 °, subsection b). - Validity: As of 12/31/99 and will take effect for the exercises that begin as of said date.)

 

Art. 15 - When by the type of operations or by the organization modalities of the companies, the Argentine source of income can not be accurately established, the Federal Administration of Public Revenues may determine the net profit subject to the tax through averages, indices or coefficients that for this purpose establish based on results obtained by independent companies dedicated to activities of equal or similar characteristics.

 

The transactions that permanent establishments domiciled or located in the country or subjects included in subparagraphs a), b), c) and d) of the first paragraph of article 49, carry out with human or legal persons, assets of affectation, establishments, trusts and figures Equivalents, domiciled, incorporated or located in non-cooperating jurisdictions or with low or no taxation, will not be considered adjusted to the practices or normal market prices between independent parties.

 

For the purposes of determining the prices of the transactions referred to in the previous article, the methods that are most appropriate according to the type of transaction made will be used. The restriction established in article 101 of the law 11.683, text ordered in 1998 and its modifications, will not be applicable with respect to the information referred to third parties that is necessary for the determination of said prices, when it must oppose as evidence in cases that process in administrative or judicial headquarters.

 

The capital companies included in subparagraph a) of the first paragraph of article 69, the permanent establishments included in the first article incorporated after article 16 and the other subjects provided in subparagraphs b), c) and d) of the first paragraph of Article 49, other than those mentioned in the third paragraph of the previous article, are subject to the same conditions with respect to the transactions they carry out with their foreign affiliates, branches, permanent establishments or other type of foreign entities linked to them.

 

For the purposes provided in the third paragraph, the methods of comparable prices between independent parties, resale prices fixed between independent parties, cost plus benefits, profit division and net margin of the transaction shall apply. The regulation will be in charge of determining the form of application of the aforementioned methods, as well as of establishing others that, with identical aims and by the nature and the particular circumstances of the transactions, so merit it.

 

In the case of merchandise import or export operations involving an international intermediary that is not, respectively, the exporter at origin or the importer at the destination of the merchandise, it must be accredited -according to what is established in the regulations- that the remuneration obtained is related to the risks assumed, the functions performed and the assets involved in the operation, provided that one of the following conditions is met:

 

a) that the international intermediary is linked to the local subject under the terms of the article incorporated after article 15;

 

b) that the international intermediary is not included in the previous paragraph, but the exporter in origin or the importer at destination is linked to the respective local subject under the terms of the article incorporated after Article 15.

 

In the case of operations of export of goods with quotation in which an international intermediary intervenes that fulfills any of the conditions referred to in the sixth paragraph of this article, or is located, incorporated, settled or domiciled in a non-cooperating jurisdiction or of low or no taxation, taxpayers must, without prejudice to what is required in the previous paragraph, perform the registration of contracts entered into for said operations with the Federal Administration of Public Revenues, in accordance with the provisions that for that purpose determine the regulation, which must include the relevant characteristics of the contracts as well as, and if applicable, the differences in comparability that generate divergences with the market price relevant to the date of delivery of the goods, or the elements considered for the formation of premiums or discounts agreed upon on the quotation. If the corresponding registration is not made in the terms that the regulation establishes in this regard or if it is carried out but the requisite is not fulfilled, the Argentine source of the export will be determined taking into account the value of the goods on the day of loading the merchandise - whatever the means of transport, including the adjustments of comparability that may correspond, without considering the price that would have been agreed with the international intermediary. The Federal Administration of Public Revenues may extend the registration obligation to other export operations of listed goods.

 

The subjects included in the provisions of this article must submit special annual sworn declarations, in accordance with what the regulations provide in this regard, which will contain the information necessary to analyze, select and proceed to the verification of the agreed prices, as well as information of an international nature without prejudice to the realization, where appropriate, by the Federal Administration of Public Revenue, of simultaneous or joint inspections with the tax authorities designated by the States with which a bilateral agreement has been signed providing for the exchange of information between fiscos.

 

The regulation should also establish the minimum limit of income invoiced in the fiscal period and the minimum amount of transactions submitted to the analysis of transfer prices, to be achieved by the obligation of the preceding paragraph.

 

In all cases of import or export operations of merchandise in which an international intermediary intervenes, taxpayers must accompany the documentation that contributes to establish if the provisions included in the sixth to eighth paragraphs of this article are applicable.

 

Likewise, the regulation will establish the information that taxpayers must provide with respect to the operations included in the sixth to eighth paragraphs of this article.

 

(Article replaced by Article 10 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. ... - For the purposes envisaged in this law, the connection will be configured when a subject and persons or other types of entities or establishments, trusts or equivalent figures, with whom the former carries out transactions, are directly or indirectly subject to the direction or control of the same human or legal persons or theirs, whether due to their participation in the capital, their degree of debts, their functional influences or any other type, contractual or not, have decision-making power to guide or define the the activities of the mentioned companies, establishments or other types of entities.

 

The regulations may establish the cases of linkage referred to in the preceding paragraph.

 

(Article s / n incorporated following Article 15, replaced by Article 11 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and shall take effect in accordance with the provisions of each of the Titles that compose it, see Article 86 of the Reference Law)

 

( Note : by article 7 of Decree N ° 279/2018 BO 9/4/2018 establishes that until the second article is regulated without added number following article 15 of the Law of Income Tax, text ordered in 1997 and its modifications, to determine if a jurisdiction is "cooperating" will be verified if it is included in the current list published by the FEDERAL ADMINISTRATION OF PUBLIC REVENUES within the framework of Decree N ° 589 of May 27, 2013. Validity: the day following its publication in the Official Gazette)

 

Art. ... - Non-cooperating jurisdictions. For all purposes provided in this law, any reference made to "non-cooperating jurisdictions" shall be understood as referring to those countries or jurisdictions that do not have an agreement for the exchange of information on tax matters or an agreement to avoid double international taxation with a broad information exchange clause.

 

Likewise, those countries that, having in force an agreement with the scope defined in the previous paragraph, do not effectively comply with the exchange of information will be considered as non-cooperating.

 

The agreements and agreements referred to in this article must comply with the international standards of transparency and exchange of information in fiscal matters to which the Argentine Republic has committed itself.

 

The national Executive Power will prepare a list of non-cooperating jurisdictions based on the criteria contained in this article.

 

(Article s / n incorporated after the article without added number after article 15, by article 12 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and they will take effect in accordance with the provisions of each one of the Titles that compose it, see Article 86 of the Reference Law)

 

Art. ... - Jurisdictions of low or no taxation. For all purposes provided in this law, any reference made to "jurisdictions with low or no taxation", shall be understood to refer to those countries, domains, jurisdictions, territories, associated states or special tax regimes that establish a maximum tax on corporate income. less than sixty percent (60%) of the aliquot contemplated in subparagraph a) of article 69 of this law.

 

(Article s / n incorporated after the article without added number after article 15, by article 12 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and they will take effect in accordance with the provisions of each one of the Titles that compose it, see Article 86 of the Reference Law)

 

Art. 16 - In addition to the provisions of article 5, the earnings from personal work are also considered to be Argentinean sources when they consist of salaries or other remuneration paid by the State to its official representatives abroad or to other persons to whom it entrusts the performance of functions outside the country.

 

Art. ... - Permanent establishment. For the purposes of this law, the term "permanent establishment" means a fixed place of business through which a subject from abroad carries out all or part of its activity.

 

Also, the term "permanent establishment" includes in particular:

 

a) a seat of management or administration;

 

b) a branch;

 

c) an office;

 

d) a factory;

 

e) a workshop;

 

f) a mine, an oil or gas well, a quarry or any other place related to the exploration, exploitation or extraction of natural resources including fishing activity.

 

The term "permanent establishment" also includes:

 

a) a work, a construction, a project of assembly or installation or supervision activities related to them, when said works, projects or activities are carried out in the territory of the Nation for a period exceeding six (6) months.

 

When the resident abroad subcontracts with other related companies the activities mentioned in the previous paragraph, the days used by the subcontractors in the development of these activities will be added, as the case may be, for the computation of the aforementioned period.

 

b) the provision of services by a subject from abroad, including the services of consultants, directly or through their employees or personnel hired by the company for that purpose, but only in the case that such activities continue in the territory of the Nation during a period or periods that in total exceed six (6) months, within any period of twelve (12) months.

 

For purposes of calculating the terms referred to in subparagraphs a) and b) of the third paragraph, the activities carried out by subjects with whom there is some type of link in the terms of the first article without an added number following the 15th of this law they must be considered jointly, provided that the activities of both companies are identical or similar.

 

The term "permanent establishment" does not include the following activities insofar as they have an auxiliary or preparatory nature:

 

a) the use of facilities for the sole purpose of storing or exhibiting goods or merchandise belonging to the company;

 

b) the maintenance of a deposit of goods or merchandise belonging to the company for the sole purpose of storing or exhibiting them;

 

c) the maintenance of a deposit of goods or merchandise belonging to the company for the sole purpose of being transformed by another company;

 

d) the maintenance of a fixed place of business with the sole purpose of buying goods or merchandise or collecting information for the company;

 

e) the maintenance of a fixed place of business with the sole purpose of carrying out for the company any other activity with such character;

 

f) the maintenance of a fixed place of business for the sole purpose of carrying out any combination of the activities mentioned in paragraphs a) to e), provided that the activity as a whole of the fixed place of business resulting from that combination remains its auxiliary or preparatory nature.

 

Notwithstanding the provisions of the preceding paragraphs, it is considered that there is a permanent establishment when a subject acts in the national territory on behalf of a human or legal person, entity or foreign patrimony and said subject:

 

a) it possesses and usually exercises powers that authorize it to conclude contracts on behalf of the aforementioned human or juridical person, entity or foreign patrimony, or play a role of significance that leads to the conclusion of said contracts;

 

b) keep in the country a deposit of goods or merchandise from which it regularly delivers goods or merchandise on behalf of the subject from abroad;

 

c) assume risks that correspond to the resident subject abroad;

 

d) act subject to detailed instructions or to the general control of the subject from outside;

 

e) exercise activities that economically correspond to the resident abroad and not to their own activities; or

 

f) receive their remuneration regardless of the result of their activities.

 

A subject will not be considered to have a permanent establishment for the mere conduct of business in the country through brokers, commission agents or any other intermediary that enjoys an independent situation, provided that they act in the usual course of their own business and in your commercial or financial relations with the company, the conditions do not differ from those generally agreed by independent agents. However, when a subject acts totally or mainly on behalf of a human or legal person, entity or foreign patrimony, or of several of these linked together, that subject will not be considered an independent agent in the sense of this paragraph with respect to to those companies.

 

(Article s / n incorporated after Article 16, by Article 13 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

NET GAIN AND NET PROFIT SUBJECT TO TAX

 

Art. 17 - To establish the net profit, the necessary expenses to obtain it or, where appropriate, to maintain and preserve the source, whose deduction is accepted by this law, in the form that it provides, shall be subtracted from the gross profit.

 

To establish the net profit subject to tax, the deductions authorized by article 23 will be subtracted from the total of the net gains of the first, second, third and fourth categories.

 

In no case will expenses related to profits that are exempt or not included in this tax be deductible.

 

When the net result of luxury investments, personal recreation and the like, established in accordance with the provisions of this law, loss acknowledgment, will not be computed for the purposes of the tax.

 

FISCAL YEAR AND IMPUTATION OF PROFITS AND EXPENSES

 

Art. 18 - The fiscal year begins on January 1 and ends on December 31.

 

Taxpayers will impute their earnings to the fiscal year, in accordance with the following rules:

 

a) The profits obtained as owner of civil, commercial, industrial, agricultural or mining companies or as partners thereof, will be allocated to the fiscal year in which the corresponding annual year ends.

 

The earnings indicated in article 49 are considered to be the fiscal year in which the annual year in which they have accrued ends.

 

When the operations are not accounted for, the fiscal year will coincide with the fiscal year, except for other provisions of the GENERAL TAX ADMINISTRATION, which is empowered to set the closing dates for the fiscal year based on the nature of the operation or other special situations.

 

The accrued earnings are considered gains of the year. However, you may choose to impute the profits at the time of the respective enforceability, when the profits originate in the sale of goods made with financing terms exceeding ten (10) months, in which case the option must be maintained by the term of five (5) years and its exercise shall be externalized through the procedure determined by the regulations. The imputation criteria authorized above may also be applied in other cases expressly provided for by law or its regulatory decree. The dividends of shares or profits distributed by the subjects of article 69 and the interests or yields of Securities, bonds, mutual fund shares and other securities will be allocated in the year in which they were: (i) made available or paid , The thing that happens first; or (ii) capitalized, provided that the securities provide for interest payments or returns in terms of up to one year. (Fourth paragraph replaced by Article 14 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that the compose, see Article 86 of the Reference Law)

 

Regarding securities that foresee payment terms of more than one year, the imputation will be made in accordance with its accrual based on time. (Paragraph incorporated by Article 14 of Law No. 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

In the case of issuance or acquisition of such securities at prices below or above the nominal residual value, in the case of human persons and undivided estates, the price differences will be charged according to the procedures contemplated in subparagraphs c) and d) of the second article without added number after article 90. (Paragraph incorporated by article 14 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that compose it, see Article 86 of the Reference Law)

 

b) Other gains will be allocated to the fiscal year in which they were received, except those corresponding to the first category that will be charged by the accrual method.

 

The profits referred to by the articles without aggregate number in the first, fourth and fifth order following article 90 will be allocated to the fiscal year in which they were received. In the case of those included in the articles without number added in the fourth and fifth order following Article 90, when the operations are payable in installments with maturity in more than one fiscal year, the profits shall be allocated in each year in the proportion of the fees received in this one. (Second paragraph incorporated by Article 15 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that the compose, see Article 86 of the Reference Law)

 

The fees of directors, trustees or members of supervisory councils and the remuneration of the managing partners will be imputed by said subjects to the fiscal year in which the assembly or meeting of partners, as appropriate, approves their assignment.

 

Profits originated in pensions or annuities liquidated by the pension funds and those derived from the performance of public positions or personal work performed in a dependency relationship as a consequence of retroactive modifications of collective bargaining agreements or statutes or ladders, judicial ruling, acquiescence to the demand or resolution of administrative appeal by competent authority, were received in a fiscal year and had been accrued in previous years, may be imputed by their beneficiaries to fiscal years to which they correspond. The exercise of this option will imply the waiver of the prescription won by the taxpayer.

 

When the imputation corresponds in accordance with its accrual, it must be made as a function of time, provided it is stipulated or presumed interests -except those produced by transferable securities-, rents and others with similar characteristics.

 

The preceding provisions on imputation of the profit will be applied correlatively for the imputation of the expenses unless otherwise disposed. Expenses not attributable to a certain source of profit will be deducted in the year in which they are paid.

 

Differences of taxes arising from adjustments and their respective interests shall be computed in the tax balance for the fiscal year in which they are demandable by the Treasury or in which they are paid, depending on the method used for the imputation of the expenses. (Paragraph replaced by Article 1 of Item 10 of Law No. 27,346 of BO 12/27/2016 Effective: as of its publication in the Official Gazette and will take effect for the fiscal years in progress at the date of entry into validity of the Reference Law).

 

When it is appropriate to impute the profits according to their perception, they will be considered as received and the expenses will be considered paid, when they are collected or paid in cash or in kind and, in addition, in cases where, when available, they have been credited to the account of the holder or, with the express or tacit authorization or agreement of the same, have been reinvested, accumulated, capitalized, placed in reserve or in a depreciation or insurance fund, whatever their denomination, or otherwise disposed of them.

 

In relation to private retirement insurance plans administered by entities subject to the control of the INSURANCE SUPERINTENDENCY, they will be considered to be collected only when they are collected: a) the benefits derived from compliance with the requirements of the plan, and, b) the rescues by the withdrawal of the plan insured for any reason.

 

In the case of disbursements made by local companies resulting in profits from Argentine sources for persons or entities from abroad with which said companies are related or for persons or bodies located, incorporated, settled or domiciled in non-cooperating jurisdictions or with low or no taxation, The imputation to the tax balance can only be made when any of the cases foreseen in the sixth paragraph of this article is paid or configured or, failing that, if any of the aforementioned circumstances is set within the deadline for the presentation of the affidavit in which the respective disbursement has been earned. (Last paragraph replaced by Article 16 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that the compose, see Article 86 of the Reference Law)

 

CLEARANCE COMPENSATION WITH PROFITS

 

Art. 19 - In order to establish the set of the net profits of Argentine source of the human persons and undivided successions resident in the country, the net results obtained in the fiscal year will be compensated, within each and between the different categories.

 

In the first place, said compensation will be made with respect to the net results obtained within each category, with the exception of the profits from the investments -including the digital currencies- and operations referred to in Chapter II of Title IV of this law. . Likewise, to generate a breach by this type of investments and operations, this will be of a specific nature and, therefore, must be compensated exclusively with future earnings from its same source and class. Class is understood as the set of profits included in each of the articles of said Chapter II.

 

If by application of the compensation indicated in the preceding paragraph there are losses in one or more categories, the sum of these will be compensated with the net gains of the second, first, third and fourth categories, successively.

 

For the purposes of this article, the amounts that the law authorizes to deduct for the concepts indicated in article 23 shall not be considered losses.

 

With respect to the subjects included in article 49, clauses a), b), c), d), e) and in its last paragraph, the losses from:

 

a) The sale of shares, representative securities and certificates of deposit of shares and other securities, quotas and social participations -including shares of mutual funds and certificates of participation of financial trusts and any other right over trusts and similar contracts-, currencies digital, titles, bonds and other values, whatever the subject that obtains them.

 

b) The performance of the activities referred to in the second paragraph of Article 69.

 

Likewise, and regardless of the subject that experiences them, the losses generated by rights and obligations arising from derivative instruments or contracts, with the exception of hedging transactions, will be considered as specific nature. For these purposes, a derivative transaction or contract shall be considered as a hedge transaction if it is intended to reduce the effect of future fluctuations in prices or market rates on the assets, debts and results of the main economic activity (s).

 

The losses experienced as a result of activities related to the exploration and exploitation of living and non-living natural resources, developed in the continental shelf and in the exclusive economic zone of the Argentine Republic including the artificial islands, facilities and structures established in said zone, only they can be compensated with net gains of Argentine source.

 

Tax losses will not be compensable with profits that must be taxed with a single and definitive tax or with those included in Chapter II of Title IV.

 

The tax loss suffered in a fiscal period that can not be absorbed with taxable profits of the same period may be deducted from the taxable profits obtained in the following immediate years. After five (5) years -computed in accordance with the provisions of the Civil and Commercial Code of the Nation- after the one in which the loss occurred, no deduction can be made of the loss that still remains in successive years.

 

Losses considered to be of a specific nature can only be computed against the net income of the same source and that come from the same type of operations in the fiscal year in which the losses were experienced or in the next five (5) years -computed in accordance to the provisions of the Civil and Commercial Code of the Nation-.

 

The losses will be updated taking into account the variation of the Internal Wholesale Price Index (IPIM), published by the National Institute of Statistics and Censuses, operated between the end of the fiscal year in which they originated and the closing month of the fiscal year. Fiscal year that is settled.

 

Losses arising from activities whose results are considered to be from a foreign source, can only be compensated with profits from that same source and will be governed by the provisions of article 134 of this law.

 

(Article replaced by Article 17 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

EXEMPTIONS

 

Art. 20 - They are exempt from the tax:

 

a) The profits of the National, provincial and municipal treasuries and those of the institutions belonging to them, excluding the entities and organizations included in Article 1 of Law No. 22,016.

 

b) The profits of tax-exempt entities by national laws, insofar as the exemption that they agree includes the encumbrance of this law and provided that the profits derive directly from the exploitation or main activity that motivated the exemption to said entities.

 

c) The remunerations received in the performance of their duties by diplomats, consular agents and other official representatives of foreign countries in the Republic; the profits derived from buildings owned by foreign countries destined for the office or home of their representative and the interests from tax deposits of the same, all on condition of reciprocity.

 

d) The profits of cooperative societies of any nature and those that under any denomination (return, shareholding interest, etc.), distribute the consumer cooperatives among their members.

 

e) The profits of religious institutions.

 

( Note : Decree No. 1,092 / 97 (BO 27/10/97) establishes that the Institutes of Consecrated Life and the Societies of Apostolic Life belonging to the Roman Catholic Apostolic Church will be beneficiaries of the treatment dispensed by this subsection without needing to process Any additional, sufficient certification issued for this purpose by the Ministry of Worship of the Ministry of Foreign Affairs, International Trade and Worship.)

 

f) The profits obtained by associations, foundations and civil entities of social assistance, public health, charity, charity, education and instruction, scientific, literary, artistic, trade union and those of physical or intellectual culture, provided that such profits and patrimony are destined for the purpose of their creation, and in no case be distributed, directly or indirectly, between the partners. Excluded from this exemption are those entities that obtain their resources, in whole or in part, from the exploitation of public spectacles, games of chance, horse races and similar activities, as well as credit or financial activities -except for financial investments that may be carried out for the purpose of preserving the social patrimony, among which are included those made by the Professional Associations and Boards and the Social Welfare Funds, created or recognized by national and provincial legal norms.

 

The exemption referred to in the first paragraph shall not be applicable in the case of foundations and associations or civil organizations of a professional nature that develop industrial or commercial activities, except when the industrial or commercial activities are related to the purpose of such entities and income that they generate does not exceed the percentage determined by the regulation on total income. In case of exceeding the established percentage, the exemption will not be applicable to the results from these activities. (Subparagraph substituted by Article 18 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

( Note : Decree No. 1,092 / 97 (BO 27/10/97) establishes that the Institutes of Consecrated Life and the Societies of Apostolic Life belonging to the Roman Catholic Apostolic Church will be beneficiaries of the treatment dispensed by this subsection without needing to process Any additional, sufficient certification issued for this purpose by the Ministry of Worship of the Ministry of Foreign Affairs, International Trade and Worship.)

 

g) The profits of the mutual entities that meet the requirements of the relevant legal and regulatory standards and the benefits they provide to their associates.

 

h) the interest originated by deposits in savings accounts and special savings accounts, made in institutions subject to the legal regime of financial entities regulated by Law 21,526 and its amendments. (Subparagraph substituted by Article 19 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

( Note : Decree No. 1,472 / 97 , Article 1 (BO 5/1/98) extends until December 31, 1998 the validity of the exemption established in this subsection.)

 

(subsection) (Section removed by Law No. 25.402 , Art. 3, subsection a), BO 12/1/2001.- Effective: As of 12/1/2001 and will take effect for interest received from January 1 of 2001, inclusive.

 

i) The interests recognized in judicial or administrative offices as accessories of labor credits.

 

The compensation for seniority in cases of dismissals and those received in the form of capital or income for causes of death or disability caused by accident or illness, whether the payments are made under the provisions of civil and special laws of social security or as a result of an insurance contract.

 

Retirements, pensions, withdrawals, subsidies, and the remunerations that continue to be received during sick leave or absences, indemnities for lack of notice in the dismissal and benefits or redemptions, net of non-deductible contributions, are not exempt. private retirement insurance plans administered by entities subject to the SUPERINTENDENCE OF INSURANCE control, except those originating in the death or incapacity of the insured.

 

j) Up to the sum of TEN THOUSAND PESOS ($ 10,000) per fiscal period, the proceeds from the exploitation of copyrights and the remaining profits derived from rights protected by Law No. 11,723, provided that the tax falls directly on the authors or its successors, that the respective works are duly registered in the NATIONAL DIRECTORATE OF COPYRIGHT, that the benefit comes from the publication, execution, representation, exhibition, alienation, translation or other form of reproduction and does not derive from works made by order or that they recognize their origin in a work or service location formalized or not contractually. This exemption will not apply to foreign beneficiaries.

 

k) ( Section repealed by Article 80 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with the provisions of each of the Securities compose it See article 86 of the Reference Law)

 

( Note: Law N ° 23.871, Article 16 (BO 30/10/90) provided: The transfer of public securities originated in mandatory conversions of financial assets arranged by the Executive Power, reaching the first transfer that is exempt from all taxes, shall be exempt from all taxes. voluntarily, those who were holders for the aforementioned cause and will take effect from 12/28/89, inclusive.)

 

l) The sums received by exporters that fall within the category of Micro, Small and Medium Enterprises according to the terms of article 1 of Law 25,300 and its complementary rules, corresponding to refunds or reimbursements agreed by the Executive Power in respect of taxes subscribers in the domestic market, which directly or indirectly affect certain products and / or their raw materials and / or services. (Subsection incorporated by Article 20 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

m) The profits of sports associations and physical culture, provided that they are not for profit, exploit or authorize games of chance and / or whose activities of a purely social nature deprive them of sports, in accordance with the regulations issued by the EXECUTIVE POWER.

 

The exemption established above will be extended to foreign associations, through reciprocity.

 

n) The difference between premiums or fees paid and capital received at maturity, in capitalization bonds and life and mixed insurance, except in private retirement insurance plans administered by entities subject to the control of the SUPERINTENDENCE OF INSURANCE.

 

o) The locative value and the result derived from the alienation, of the house-room. (Subparagraph substituted by Article 21 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

p) The premiums for the issuance of shares and the sums obtained by the limited liability companies, in simple and limited partnerships for shares, in the part corresponding to the capital stock, due to the subscription and / or integration of quotas and / or social participations for amounts greater than their nominal value.

 

q ) (Section removed by Law No. 25,239 , Title I, art. 1, subsection g). - Validity: As of 12/31/99 and will take effect for the exercises that begin as of said date.)

 

r) The profits of international non-profit institutions, with legal status, with a central office established in the Argentine Republic.

 

Also included in this subsection are the profits of the non-profit institutions referred to in the preceding paragraph, which have been declared of national interest, even when they do not accredit legal status granted in the country or central headquarters in the Argentine Republic.

 

s) The interest on development loans granted by international organizations or official foreign institutions, with the limitations determined by the regulations.

 

t) Interest originated by credits obtained abroad by the national, provincial, and municipal treasuries or the Autonomous City of Buenos Aires and by the Central Bank of the Argentine Republic. (Subparagraph substituted by Law No. 25,063 , Title, art.4, subsection h). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, the fiscal year in course to that date.)

 

u) Donations, inheritances, legacies and the benefits achieved by the Tax Law on the Prizes of Certain Games and Sports Contests. (Subparagraph substituted by Law No. 25,239 , Title I, art. 1, subsection h). - Validity: As of 12/31/99 and will take effect for the exercises that begin as of said date.)

 

v) Amounts from credit updates of any origin or nature. In the case of updates corresponding to credits configured for profits that must be imputed by the system of the perceived, only the exemption will proceed for the updates subsequent to the date in which corresponds their imputation. For the foregoing purposes, the exchange differences will be considered included in this subsection.

 

The updates referred to in this subsection - excluding exchange differences and updates established by law or judicially - must come from an express agreement between the parties.

 

The provisions of this subsection shall not be applicable for payments made in the case provided for in the fourth paragraph of article 14, nor shall they reach the updates whose exemption from this tax would have been provided by special laws or which constitute profits from a foreign source. .

 

( Note : Decree No. 1,472 / 97 , Article 1 (BO 5/1/98) extends until December 31, 1998 the validity of the exemption established in this subsection.)

 

w) The results from transactions of purchase and sale, exchange, exchange or disposal of shares, securities representing shares and certificates of deposit of shares, obtained by resident human persons and undivided estates located in the country, provided that those operations are not attributable to subjects included in clauses d) and e) and in the last paragraph of article 49 of the law. The exemption will also be applicable for those subjects to the operations of rescue of shares of mutual funds of the first paragraph of article 1 of law 24.083 and its modifications, as long as the fund is integrated, at least, in a percentage determined by the regulations , for said values, provided that they meet the conditions mentioned in the following paragraph.

 

The benefit provided for in the preceding paragraph will only be applicable insofar as (a) it is a placement by public offering with authorization from the National Securities Commission; and / or (b) the transactions were carried out in markets authorized by that agency under segments that ensure the priority of time and bid interference; and / or (c) they are made through a public offer of acquisition and / or exchange authorized by the National Securities Commission.

 

The exemption referred to in the first paragraph of this subsection shall also apply to investment companies, fiduciaries and other entities that are subject to the tax or the tax obligation, constituted as a result of privatization processes, in accordance with the provisions of Chapter II of Law 23,696 and related regulations, insofar as they are transactions with shares originated in programs of investee ownership, implemented within the framework of Chapter III of the same law.

 

The exemption provided for in this subsection shall also apply to foreign beneficiaries to the extent that such beneficiaries do not reside in non-cooperating jurisdictions or the funds invested do not come from non-cooperating jurisdictions. Likewise, interest or income and results from the sale, exchange, exchange or disposition of the following values obtained by the aforementioned beneficiaries abroad will be exempt from the tax: (i) public titles -titles, bonds, letters and so forth. obligations issued by the National, Provincial, and Municipal States and the Autonomous City of Buenos Aires; (ii) negotiable obligations referred to in article 36 of Law 23,576 and its amendments, debt securities of financial trusts incorporated in the country in accordance with the provisions of the Civil and Commercial Code of the Nation, placed by public offer, and shares. of income from mutual funds set up in the country, included in article 1 of Law 24,083 and its amendments, placed by public offering; and (iii) representative securities or certificates of deposit of shares issued abroad, when such shares are issued by entities domiciled, established or located in the Argentine Republic and have authorization for public offering by the National Securities Commission.

 

The provisions of the preceding paragraph shall not apply when dealing with Letters of the Central Bank of the Argentine Republic (LEBAC).

 

The National Securities Commission is empowered to regulate and supervise, within the scope of its competence, the conditions established in this article, in accordance with the provisions of Law 26,831. (Subparagraph w) replaced by art. 22 of Law N ° 27.430 BO 29/12/2017. Validity: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that comprise it. See art. 86 of the Reference Law)

 

y) The profits derived from the disposal of waste, and in general all kinds of activities related to sanitation and preservation of the environment, -including the advice- obtained by the entities and organisms included in article 1 of Law 22.016 provided that its reinvestment in said purposes. (Incised by Law No. 25,063 , Title, art.4, paragraph i). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, fiscal year in course to that date. Note: Paragraph observed by the Executive Power through Decree No. 1,517 / 98. Insistence of the sanction by the Chamber of Deputies and Senators, PE - 242/99 (BO 2/8/99).

 

z) The difference between the value of overtime and that of ordinary hours, which workers receive in relation to dependence on services rendered on holidays, non-working days and during weekends, calculated according to the corresponding labor legislation. (Subsection incorporated by article 1 pt. 1 of Law N ° 27.346 BO 27/12/2016 Effective: from its publication in the Official Gazette and will take effect as of fiscal year 2017, inclusive).

 

When there are active interests contemplated in subsection h) or active updates referred to in subparagraph v), with the interest or updates mentioned in article 81, subsection a), the exemption will be limited to the positive balance arising from the compensation of the same. (Paragraph replaced by Law No. 25,239 , Title I, art. 1, subsection i). - Validity: As of 12/31/99 and will take effect for the periods beginning as of said date.

 

The exemption provided in subparagraphs f), g) and m) shall not be applicable to those institutions included in them that during the fiscal period pay any of the persons that form part of the executive, executive and controlling committees thereof. (directors, directors, auditors, account reviewers, etc.), whatever their denomination, an amount for any concept, including representation expenses and similar, higher by FIFTY PERCENT (50%) than the annual average of the THREE (3) better salaries of administrative personnel. Nor will the aforementioned exemptions, whatever the amount of the compensation, be applicable to those entities that have their payment forbidden by the rules governing their constitution and operation.

 

(Last paragraph of article 20, eliminated by Law No. 25,063 , Chapter III, art. 4, subsection j). - Validity: As of 1/1/99.)

 

( Note : Validity of the exemptions established in subparagraphs h), q) and v) (paragraphs h), t) and z) of the text ordered in 1986) extended until 12/31/87, 12/31/88, 31 / 12/89, 12/31/90, 12/31/1991, 12/31/92, 12/31/93, 12/31/94, 12/31/95, 12/31/96, 12/31/1992 97 and 12/31/98 by Decrees Nos. 2,380 / 86, 2,073 / 87, 1,936 / 88, 1,620 / 89, 2,649 / 90, 2,743 / 91, 2,416 / 92, 182/94, 2,207 / 94, 11/96 1,477 / 96 and 1,472 / 97 ; respectively.)

 

Art. 20 bis.- In addition to what is established in article 20, they are exempt from the tax:

 

- The remunerations received for mandatory guards, whether active or passive, by professionals, technicians, assistants and operational personnel of public health systems, when the service is provided in a public health center located in health zones. unfavorable thus declared by the national health authority, to proposals of the provincial health authorities.

 

(Article incorporated by Article 6 of Law N ° 27,480 BO 21/12/2018 Effective: from the day following its publication in the Official Gazette and will be applicable for fiscal years 2019 and following)

 

Art. 21 - The total or partial exemptions or reductions that affect the encumbrance of this law, including or not in it, will not produce effects insofar as this could result in a transfer of income to foreign tax authorities. The foregoing shall not apply with respect to the exemptions provided in paragraphs t) and w) of the preceding article and of the first and fourth articles incorporated without number after Article 90 or when it affects international agreements subscribed by the Nation regarding double imposition. The measure of the transfer will be determined according to the records that the taxpayers must provide in this regard. In the event that such contribution is not made, the total transfer of the exemptions or deductions shall be presumed, and the respective amounts shall be granted the treatment established by this law according to the type of earnings involved. (Paragraph substituted by Article 23 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

For such purposes, certifications issued in the foreign country by the corresponding enforcement agencies or by the professionals authorized to do so in that country shall be considered sufficient evidence. In all cases, the relevant legalization by the Argentine consular authority will be indispensable.

 

SEPELIO EXPENSES

 

Art. 22 - Regarding the profit of the fiscal year, regardless of its source, with the limitations contained in this law and provided that the requirements established by the regulations are met, the burial expenses incurred in the country may be deducted. up to the sum of FOUR CENTURIES OF WEIGHT ($ 0.04) originated by the death of the taxpayer and by each one of the persons that should be considered in his charge according to article 23.

 

NON TAXABLE GAINS AND FAMILY CHARGES

 

Art . 23 - Human persons shall have the right to deduct from their net earnings: (Expression "of visible existence" replaced by "human", by Article 79 of Law N ° 27.430 BO 29/12/2017. of its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that comprise it, see Article 86 of the Reference Law)

 

a) As non-taxable profits, the sum of pesos fifty-one thousand nine hundred and sixty-seven ($ 51,967), provided that the persons indicated are residents of the country.

 

b) In respect of family charges, provided that the persons indicated are residents of the country, are borne by the taxpayer and do not have net income greater than fifty-one thousand nine hundred and sixty-seven ($ 51,967) in the year. , whatever their origin and whether or not they are subject to the tax:

 

1. Pesos forty-eight thousand four hundred forty-seven ($ 48,447) for the spouse.

 

2. Weights twenty-four thousand four hundred and thirty-two ($ 24,432) for each son, daughter, stepchild or stepdaughter under the age of eighteen (18) or incapacitated for work.

 

The deduction of this subsection can only be made by the closest relative who has taxable profits.

 

c) As a special deduction, up to a sum equivalent to the amount resulting from increasing the amount referred to in subparagraph a) of this article in:

 

1. One (1) time, in the case of net profits included in article 49, provided that they work personally in the activity or company and of net profits included in article 79, unless they are included in the following section. In these cases, the increase will be one point five (1.5) times, instead of one (1) time, when it is "new professionals" or "new entrepreneurs", in the terms established by the regulations.

 

It is an indispensable condition for the computation of the deduction referred to in this section, in relation to the income and activity, the payment of the contributions that, as self-employed workers, must necessarily be made to the Argentine Integrated Pension System (SIPA) or to the cashier of substitute pensions that corresponds.

 

2. Three point eight (3.8) times, in the case of net gains included in subparagraphs a), b) and c) of article 79 cited. (Paragraph substituted by Article 24 of Law No. 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

The regulation will establish the procedure to follow when profits are obtained included in both sections. (Paragraph substituted by Article 24 of Law No. 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

The deduction provided for in the second paragraph of the first paragraph of this subsection shall not apply when the remuneration is included in subparagraph c) of article 79, originated in special pension schemes that, depending on the position performed by the beneficiary, grant a Differential treatment of pension benefits, mobility of benefits, as well as age and number of years of service to obtain the retirement benefit. Excluding from this definition are the differential regimes established by virtue of painful or unhealthy activities, determinants of premature aging or exhaustion, and the regimes corresponding to the teaching, scientific and technological activities and retirement of the armed and security forces. (Paragraph substituted by Article 24 of Law No. 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

The Federal Administration of Public Revenues, an autarkic entity within the scope of the Ministry of Finance and Public Finance, will determine the method of calculating the deductions provided for in this article with respect to the income established in subparagraphs a), b) and c) of the article 79, in order for the withholding agents to divide the Annual Salary

 

Complementary for twelve (12) and add the twelfth part of said emolument to the remuneration of each month of the year.

 

In the case of employees who work in a dependent relationship and retirees who live in the provinces and, where appropriate, a party, referred to in article 1 of Law 23,272 and its amendments, computable personal deductions will be increased by a twenty-two percent (22%).

 

With respect to the income mentioned in subsection c) of article 79 hereof, the deductions provided in subsections a) and c) of this article shall be replaced by a specific deduction equivalent to six (6) times the sum of the minimum assets Guaranteed, defined in article 125 of the law 24,241 and its amendments and complementary, provided that this last amount is greater than the sum of the aforementioned deductions.

 

The provisions of the preceding paragraph shall not apply to those subjects who receive and / or obtain income of a different nature from those provided therein. Nor will this deduction correspond to those who are obliged to pay the tax on personal property, as long as this obligation does not arise exclusively from the possession of a single-home property.

 

The amounts foreseen in this article will be adjusted annually, starting from fiscal year 2018, inclusive, by the coefficient that arises from the annual variation of the Average Taxable Compensation of Stable Workers (RIPTE), corresponding to the month of October of the year before of the adjustment with respect to the same month of the previous year.

 

(Article replaced by article 1, point 2 of Law N ° 27.346, BO 27/12/2016 Effective: as of its publication in the Official Gazette and will take effect as of fiscal year 2017, inclusive).

 

( Note : by article 1 of Decree No. 1253/2016 BO 12/14/2016 it is established that for the purpose of determining the income tax corresponding to the second installment of the 2016 Annual Supplementary Salary, increase in PESOS FIFTEEN THOUSAND ($ 15,000) the amount of the special deduction calculated in accordance with the provisions of the third paragraph of subsection c) of Article 23 of the Income Tax Law, text ordered in 1997 and its amendments. It will have effects exclusively for those subjects who obtain rents mentioned in subparagraphs a), b) and c) of Article 79 of the aforementioned rule, when the highest remuneration and / or gross monthly income accrued between the months of July and December of 2016 , does not exceed the sum of PESOS FIFTY AND FIVE THOUSAND ($ 55,000). Validity: from the day of its publication in the Official Gazette).

 

Art. ...: - (Article repealed by Article 1 of Law No. 26,477 BO 24/12/2008 Effective: from the day of its publication in the Official Gazette, applicable as of January 1, 2009)

 

Art. 24 - The deductions provided for in article 23, subsection b), shall be effective for monthly periods, calculating the entire month in which the causes that determine its computation (birth, marriage, death, etc.) occur or cease.

 

In the event of death, the deductions provided for in article 23 shall be effective for monthly periods, calculating the entire month in which such event occurs. On the other hand, the undivided estate, applying the same criterion, will compute the deductions to which the decedent would have been entitled.

 

The monthly amounts to be computed will be those determined by applying the procedure referred to in the third paragraph of article 25.

 

Art. 25 - The amounts referred to in articles 22 and 81, subsection b), and the sections of the scale provided for in article 90, shall be updated annually by applying the coefficient established by the GENERAL TAX ADDRESS on the basis of the data must provide the NATIONAL INSTITUTE OF STATISTICS AND CENSUS.

 

The update coefficient to be applied will be calculated taking into account the variation produced in the wholesale price indexes, general level, relating the average of the monthly indexes corresponding to the respective fiscal year with the average of the monthly indexes corresponding to the immediate fiscal year. previous.

 

The amounts referred to in article 23 will be fixed annually considering the sum of the respective monthly updated amounts. These monthly amounts will be obtained by updating each month the amount corresponding to the immediately previous month, starting with the month of January based on the month of December of the previous fiscal year, according to the variation that occurred in the wholesale price index, level general, prepared by the NATIONAL INSTITUTE OF STATISTICS AND CENSUS.

 

When the GENERAL TAX ADMINISTRATION establishes withholding of the tax on the gains included in subparagraphs a), b), c) and e) of article 79, it must make, provisionally, the updates of the monthly amounts according to the procedure that in each case provides the present article. However, the withholding agents may choose to make the corresponding adjustments on a quarterly basis.

 

The GENERAL TAX ADDRESS may round up in amounts of DOCE (12) the amounts that are updated under the provisions of this article.

 

CONCEPT OF RESIDENCE

 

Art. 26 - For the purposes of the deductions provided for in article 23, human persons who live more than SIX (6) months in the country during the fiscal year are considered residents of the Republic. (Expression "of visible existence" replaced by "human", by Article 79 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

For all purposes of this law, human persons who are abroad at the service of the Nation, provinces, Autonomous City of Buenos Aires or municipalities and officials of Argentine nationality who act in international organizations are also considered residents of the country. of which the Argentine Republic is a member state. (Paragraph substituted by Article 25 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

CONVERSION

 

Art. 27 - All the goods introduced in the country or given or received in payment, without there being a certain price in Argentine currency, must be valued in pesos on the date of their receipt in payment, except for special provision of this law.

 

For this purpose, the provisions of article 68 shall apply, where applicable.

 

GAIN OF THE COMPONENTS OF THE SPANISH SOCIETY

 

Article 28 - ( Article repealed by Article 80 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and shall take effect in accordance with the provisions of each of the Titles that compose it See article 86 of the Reference Law)

 

Art. 29 - It corresponds to attribute to each spouse, whatever the patrimonial regime to which the conjugal society is submitted, the proceeds from:

 

a) Personal activities (profession, trade, employment, commerce or industry).

 

b) Own assets.

 

c) Other assets, by the part or proportion in which it has contributed to its acquisition, or by fifty percent (50%) when it is impossible to determine it.

 

(Article replaced by Article 26 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. 30 - ( Article repealed by article 80 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with the provisions of each of the Titles that compose it See article 86 of the Reference Law)

 

GAINS OF MINORS

 

Art. 31 - ( Article repealed by Article 80 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that compose it See article 86 of the Reference Law)

 

SOCIETY BETWEEN CONYUGES

 

Article 32 - ( Article repealed by Article 80 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with the provisions of each of the Titles that compose it See article 86 of the Reference Law)

 

INDIVISE SUCCESSIONS

 

Art. 33 - Undivided estates are taxpayers for the profits obtained until the date that declares heirs declarations or has been declared valid the will that fulfills the same purpose, being subject to the payment of the tax, previous computation of the deductions to that the causer was entitled, in accordance with the provisions of article 23 and with the limitations imposed by it.

 

Art. 34 - Dictated the declaration of heirs or declared valid the testament and for the period that corresponds until the date in which the partionary account is approved, judicial or extrajudicial, the surviving spouse and the heirs will add to their own earnings the proportional part that , according to their social or hereditary right, they correspond in the proceeds of the succession. The legatees will add to their own profits those produced by the legacies.

 

As of the date of approval of the partitioning account, each of the beneficiaries shall include in their respective sworn statements the profits of the assets that have been awarded to them.

 

Art. 35 - The definitive loss suffered by the deceased may be compensated with the gains obtained by the succession up to the date of the declaration of heirs or until the testament has been declared valid, in the manner established by article 19.

 

If there is still a balance, the surviving spouse and the heirs will proceed in the same way starting from the first year in which they include in the individual statement earnings produced by inheritance or inheritance assets. The compensation of the losses referred to above may be made with taxable profits obtained by the succession and by the heirs up to the fifth year, inclusive, after the one in which the loss originated.

 

Similar temperament will be adopted by the surviving spouse and the heirs with respect to the final losses suffered by the succession.

 

The part of the final loss of the decedent and of the succession that each of the heirs and the surviving spouse may compensate in their sworn statements shall be that which arises from apportioning the losses in proportion to the percentage that each of the beneficiaries has in the hereditary estate .

 

Art. 36 - When a taxpayer has followed the system of received, for the purposes of the liquidation of the tax, the profits produced or accrued but not collected until the date of his death will be considered, at the option of the interested parties, in any of the following ways:

 

a) Including them in the last affidavit of the deceased.

 

b) Including them in the affidavit of the succession, surviving spouse, heirs and / or legatees, in the year in which they receive them.

 

NON DOCUMENTED DEPARTURES

 

Art. 37 - When an outlay lacks documentation or is framed as apocryphal, and is not proven by other means that due to its nature must have been made to obtain, maintain and keep taxable profits, its deduction will not be allowed on the tax balance and will also be subject to payment of the thirty-five percent (35%) rate that will be considered definitive in substitution of the tax corresponding to the unknown or hidden beneficiary. For the purposes of determining this tax, the taxable event shall be considered perfected on the date on which the payment is made.

 

(Article replaced by Article 27 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it See Article 86 of the Reference Law)

 

Art. 38 - The income indicated in the previous article will not be required in the following cases:

 

a) When the GENERAL TAX ADMINISTRATION presumes that the payments have been made to acquire goods.

 

b) When the GENERAL TAX ADMINISTRATION presumes that the payments -for their amount, etc.- do not become taxable profits in the hands of the beneficiary.

 

RETENTIONS

 

Art. 39 - The collection of the tax will be carried out through withholding at the source, in the cases and in the manner provided by the GENERAL TAX ADDRESS.

 

Art. 40 - When the taxpayer has not complied with his obligation to withhold the tax in accordance with the regulations in force, the GENERAL TAX ADDRESS may, for the purposes of the tax balance of the taxpayer, challenge the expense effected by it.

 

TITLE II

 

PROFIT CATEGORY

 

CHAPTER I

 

PROFITS OF THE FIRST CATEGORY

 

SOIL RENT

 

Art. 41 - Insofar as it is not appropriate to include them in article 49 of this law, they constitute profits of the first category, and must be declared by the owner of the respective real estate:

 

a) The product produced in money or in kind from the location of urban and rural properties.

 

b) Any kind of consideration received by the constitution in favor of third parties of rights of usufruct, use, habitation, antichresis, surface or other rights in rem. (Subparagraph substituted by Article 28 of Law No. 27,430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and shall take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

c) The value of the improvements introduced in the properties, by the tenants or tenants, which constitute a benefit for the owner and in the part that the latter is not obliged to indemnify.

 

d) The direct or territorial contribution and other taxes that the tenant or tenant has taken charge of.

 

e) The amount paid by the tenants or tenants for the use of furniture and other accessories or services provided by the owner.

 

f) The locative value computable by the properties that their owners occupy for recreation, summer or other similar purposes.

 

g) The locative value or presumed lease of real estate transferred for free or at a price not determined.

 

The gains that the tenants get for the production, in cash or in kind, of the urban or rural properties given in sublocation are also considered first category.

 

Art. 42 - It is presumed, unless there is evidence to the contrary, that the locative value of any real estate is not inferior to the locative market value that prevails in the area where the property is located, according to the guidelines established by the regulations.

 

When real estate is leased or leased on these real rights of usufruct, use, habitation, antichresis, surface or other, for a lower price than the market that prevails in the area in which the goods are located, the Federal Revenue Administration Public can estimate the corresponding profit ex officio.

 

(Article replaced by Article 29 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Article 43 - Those who receive leases in kind shall declare as profit the value of the products received, understood as that of their realization in the fiscal year or, failing that, the price of the place at the end of it. In the latter case, the difference between the sale price and the aforementioned price will be computed as profit or loss of the year in which the sale was made.

 

Art. 44 - The taxpayers who transmit free of charge the naked property of the property, conserving for themselves the right to the fruits -of whatever kind-, use or room, must declare the profit that the exploitation or the locative value, according to correspond, without deducting any amount in respect of rents or leases, even if their payment has been stipulated.

 

CHAPTER II

 

PROFITS OF THE SECOND CATEGORY

 

CAPITAL INCOME

 

Art. 45 - As long as it does not correspond to include them in article 49 of this law, they constitute gains of the second category:

 

a) The income of securities, certificates, bonds, treasury bills, debentures, bonds or credits in money or privileged or unsecured securities, whether or not they are in a public deed, and any sum that is the product of the placement of the capital, whatever your denomination or form of payment.

 

b) The benefits of the lease of personal property and rights, royalties and periodic subsidies.

 

c) Life annuities and gains or shares in life insurance.

 

d) The net benefits of non-deductible contributions, coming from the fulfillment of the requirements of the private retirement insurance plans administered by entities subject to the control of the INSURANCE SUPERINTENDENCY, insofar as they do not have their origin in personal work.

 

e) The net redemptions of non-deductible contributions, due to the withdrawal of the retirement insurance plans referred to in the preceding paragraph, except that the provisions of article 101 are applicable.

 

f) The sums received in payment of obligations not to do or due to the abandonment or non-exercise of an activity. However, these earnings will be considered as the third or fourth category, depending on the case, when the obligation is not to exercise a trade, industry, profession, trade or employment.

 

g) Share interest distributed by cooperatives, except for consumer ones. In the case of so-called work cooperatives, the provisions of article 79, subparagraph e) shall apply.

 

h) Revenues that in the form of one or more payments are received for the definitive transfer of key rights, trademarks, invention patents, royalties and the like, even when this type of operations is not usually carried out.

 

i) Dividends and profits, in cash or in kind, distributed to its shareholders or partners by the companies included in subparagraph a) of article 69.

 

j) The results originated by rights and obligations arising from derivative instruments and / or contracts.

 

Likewise, when a set of transactions with derivative instruments and / or contracts, is equivalent to another transaction or financial operation with a treatment established in this law, the rules of the transactions or operations of which it is equivalent will be applied to that group. (Incised by Law N ° 25,063 , Title III, art.4, paragraph l). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, the fiscal year in course to that date.)

 

k) The results from operations of transfer of shares, representative securities and certificates of deposit of shares and other securities, quotas and social participations -including shares of mutual funds and certificates of participation of trusts and any other rights on trusts and contracts. similar-, digital currencies, Securities, bonds and other securities, as well as for the alienation of real estate or transfers of rights over real estate. (Subparagraph substituted by Article 30 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. 46 - Dividends, in cash or in kind, will be considered as taxable income by their beneficiaries, whatever the business funds with which their payment is made, including previous reserves regardless of the date of their incorporation and exempt profits. in accordance with the provisions of this law and from issue premiums. Equal treatment will have the utilities that the subjects included in sections 2, 3, 6, 7 and 8 of subsection a) of Article 69, distribute to their partners or members.

 

Dividends in kind will be computed at their current value in place at the date of their availability.

 

Distributions in shares released from revaluations or accounting adjustments and from the capitalization of liquid and realized profits will not be computable by the beneficiaries for the purposes of determining their taxable income or for the calculation referred to in article 80 of the law.

 

In the case of total or partial redemption of shares, a distribution dividend will be considered as the difference between the amount of the redemption and the computable cost of the shares. In the case of liberated shares, its computable cost will be considered equal to zero (0) and the total amount of the redemption constitutes an encumbered dividend.

 

The computable cost of each share will be obtained by considering as a numerator the amount attributed to the equity item in the commercial balance sheet of the last fiscal year closed by the issuing entity, immediately prior to the redemption, net of the liquid and realized profits that comprise it and reserves. that they have origin in utilities that fulfill the same condition, and as denominator the shares in circulation.

 

When the shares that are rescued have been acquired from other shareholders, it will be understood that the redemption implies an alienation of those shares. To determine the result of this operation, the corresponding computable cost will be considered as the sale price in accordance with the provisions of the preceding paragraph, and the cost of acquisition will be obtained from the application of article 61 of the law.

 

(Article replaced by article 31 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. ... - It will be presumed that the provision of dividends or similar profits has been configured, in the terms of article 18 of this law, in accordance with the provisions of the fifth paragraph of subsection a), when any of the situations that are listed below, in the magnitude that is foreseen for each of them:

 

a) The holders, owners, partners, shareholders, share-holders, trustors or beneficiaries of the subjects included in article 69 make withdrawals of funds for any reason, for the amount of such withdrawals.

 

b) The owners, owners, partners, shareholders, share-holders, trustors or beneficiaries of the subjects included in article 69 have the use or enjoyment, for any Title, of assets of the entity's assets, fund or trust. In this case it will be presumed, admitting proof to the contrary, that the value of the dividends or profits made available is eight percent (8%) per annum of the current value in place of real estate and twenty percent (20%) annual value of the current value in place with respect to the rest of the assets. If payments are made in the same fiscal period for the use or enjoyment of said assets, the amounts paid may be discounted for the purpose of calculating the dividend or profit.

 

c) Any property belonging to the entity, fund or trust, is subject to the guarantee of direct or indirect obligations of the owners, owners, partners, shareholders, share-holders, trustors or beneficiaries of the subjects included in article 69 and such guarantee is executed .If this situation is verified, the dividend or profit will be calculated with respect to the current value in place of the foreclosed assets, up to the limit of the guaranteed amount.

 

d) Any property that the subjects included in article 69 sell or buy their owners, owners, partners, shareholders, share-holders, trustors or beneficiaries of the subjects, below or above, as appropriate, the value of the place. In such case, the dividend or profit will be calculated by the difference between the declared value and said place value.

 

e) Any expense that the subjects included in article 69, perform in favor of their owners, owners, partners, shareholders, share-holders, trustors or beneficiaries, who do not respond to operations performed in the interest of the company, for the amount of such expenditures , except that the amounts are reimbursed, in which case article 73 of the law will be applicable.

 

f) The holders, owners, partners, shareholders, share-holders, trustors or beneficiaries of the subjects included in article 69 receive salaries, fees or other remuneration, as long as the effective rendering of the service can not be proved or the agreed compensation is adequate to the nature of the services provided or not superior to that which would be paid to third parties for similar services.

 

In all cases, in relation to the amounts determined by application of the situations provided for in the clauses of the first paragraph of this article, the presumption established therein shall be limited to the amount of accumulated profits at the end of the last financial year prior to the date in which any of the situations foreseen in the previous sections is verified by the proportion held by each owner, owner, partner, shareholder, shareholder, trustor or beneficiary. The presumption contained in the provisions of article 73 shall apply to the surplus amounts.

 

It shall also be considered that there is provision for dividends or similar profits when the referred cases are verified with respect to the spouse or partner of the owners, owners, partners, shareholders. , Shareholders, trustors or beneficiaries of the subjects included in Article 69 or their ascendants or descendants in the first or second degree of consanguinity or affinity.

 

The same provisions shall apply when the companies and trusts included in subparagraphs b) and c) of article 49 choose to pay as capital companies in accordance with the provisions of the fourth paragraph of article 50, as well as with respect to permanent establishments to which they are subject. reference is made in the second paragraph of paragraph b) of Article 69.

 

(Article s / n incorporated after Article 46, by Article 32 of Law N ° 27.430 BO 29/12/2017. of its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that comprise it, see Article 86 of the Reference Law)

 

Art. 47 - For the purposes of this law, any consideration received, in cash or in kind, for the transfer of ownership, use or enjoyment of things or for the assignment of rights, the amount of which is determined in Article 47, is considered a royalty. relationship to a unit of production, sales, exploitation, etc., whatever the denomination assigned.

 

Art. 48 - When the interest rate is not expressly determined, for the purposes of the tax it is presumed, unless there is evidence to the contrary, that any debt, whether this is the consequence of a loan, the sale of real estate, etc., accrues a interest rate not lower than the one set by the BANCO DE LA NACION ARGENTINA for commercial discounts, except for the one corresponding to debts with legal update, agreed or judicially fixed, in which case those that are current in place for this type of operations will apply. , in accordance with what the regulation establishes.

 

If the debt comes from the sale of real estate, the presumption established in the preceding paragraph rules without admitting proof to the contrary, even when it is expressly stipulated that the sale is made without computing interest.

 

Art. ... - ( Article s / n incorporated after article 48, repealed by article 80 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and they will take effect in accordance with the provisions of each one of the Titles that compose it, see Article 86 of the Reference Law)

 

CHAPTER III

 

PROFITS OF THE THIRD CATEGORY

 

BUSINESS BENEFITS

 

(Name of the Chapter replaced by article 33 of Law No. 27,430 of BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles compose it See article 86 of the Reference Law)

 

Art. 49 - Income included. They constitute gains of the third category:

 

a) Those obtained by those responsible included in article 69.

 

b) All that derive from any other class of companies incorporated in the country.

 

c) Derivatives of trusts incorporated in the country in which the trustor has the status of beneficiary, except in cases of financial trusts or when the trustee-beneficiary is a subject included in Title V.

 

d) Derivatives of other companies unipersonal located in the country.

 

e) Derivatives of the activity of commission agent, auctioneer, consignee and other commercial assistants, not expressly included in the fourth category.

 

f) Derivatives of subdivisions for urbanization purposes, those deriving from the construction and transfer of real estate under the horizontal property regime of the Civil and Commercial Code of the Nation and the development and transfer of real estate under the real estate system set forth in the mentioned code.

 

g) Other earnings not included in other categories.

 

Compensation in cash and in kind, per diem, etc., that are received for the exercise of the activities included in this article, will also be considered gains in this category, as they exceed the amounts that the Federal Revenue Administration deems reasonable in concept of reimbursement of expenses incurred.

 

When the professional activity or trade referred to in article 79 is complemented by a commercial exploitation or vice versa (sanatoria, etc.), the total result obtained from all these activities shall be considered as a profit of the third category.

 

(Article replaced by Article 34 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. 50 - The result of the tax balance of the sole proprietorships included in subparagraph d) of article 49 and of the companies included in subsection b) of article 49, shall be considered, if applicable, fully assigned to the owner or distributed among the partners even if it had not been accredited in their particular accounts.

 

The results obtained by the trusts included in subsection c) of article 49, in the proportion that corresponds to them, will also be attributed to the trustors at the end of the fiscal year.

 

The provisions contained in the preceding paragraphs shall not apply with respect to the losses that, according to the provisions of article 19, are considered to be specific to the subjects.

 

The provisions contained in the preceding paragraphs shall not apply to the losses that, in accordance the provisions of article 19 are considered to be specific for the subjects included in subparagraphs b), c) and d) of article 49, which must be compensated by the company, partnership or trust in the manner provided by the first of the mentioned items, depending on the origin of the loss.

 

Nor shall the provisions contained in the first two paragraphs of this article be applied as long as the aforementioned companies and trusts included in subparagraphs b) and c) of article 49 have exercised the option referred to in point 8 of subparagraph a) of article 69 of the law.

 

(Article replaced by Article 35 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. 51 - When the gains come from the alienation of inventories, gross profit will be understood as the total net sales minus the cost determined by application of the following articles.

 

Net sales will be considered as the value resulting from deducting returns, bonuses, discounts or other similar items to gross sales, in accordance with the customs of the place.

 

Art. 52 - To practice the tax balance, the existence of goods of change -except real estate- must be computed using the following methods for its determination:

 

a) Resale merchandise, raw materials and materials: At the cost of the last purchase made in the TWO (2) months prior to the closing date of the fiscal year. If no purchases have been made in said period, the cost of the last purchase made in the year, updated from the date of purchase until the closing date of the fiscal year, will be taken.

 

When there are no purchases during the fiscal year, the tax value of the assets in the initial inventory, updated from the start date to the closing date of the fiscal year, will be taken.

 

b) Processed products:

 

1. The value to be considered will be calculated based on the price of the last sale made in the TWO (2) months prior to the close of the fiscal year, reduced in the amount of sales expenses and the net profit margin contained in said price.

 

If there were no sales in the aforementioned period, for the calculation the price of the last sale made minus the selling expenses and the net profit margin contained in the price will be considered, updating the resulting amount between the date of sale and the closing date. The exercise.

 

When sales had not been made, the selling price for the taxpayer should be considered at the closing date of the year less the selling expenses and the net profit margin contained in said price.

 

2. When systems are used to determine the production cost of each batch of manufactured products, the same method as that established for the valuation of resale merchandise stocks shall be used, considering as the date of purchase the moment of completion of the elaboration of the goods.

 

In these cases, the allocation of raw materials and materials to process will be made taking into account the method established for the valuation of the inventories of said goods.

 

c) Products in progress: The value of the finished products, established in accordance with the preceding paragraph, will be applied to the completion percentage as of the closing date of the year.

 

d) Treasury:

 

1. Stocks of breeding establishments: at the estimated cost per annual revaluation.

 

2. Stocks of wintering establishments: at the price of a place for the taxpayer at the closing date of the year in the market where he usually operates, less the selling expenses, determined for each category of the farm.

 

e) Cereals, oilseeds, fruits and other products of the earth, except forestry exploitations:

 

1. With a known price: at the market price minus selling expenses, at the closing date of the fiscal year.

 

2. No known quotation: at the sale price set by the taxpayer less selling expenses, at the closing date of the year.

 

f) Sementeras: The amount resulting from updating each of the investments from the date they were made up to the closing date of the year or the probable realization value to the latter date when compliance with the requirements set forth in article 56

 

The inventories must record in detail the existence of each article with its respective unit price.

 

In the valuation of the inventories, deductions will not be allowed in a global manner, for general reserves set up to deal with price fluctuations or other contingencies.

 

For the purposes of the update provided in this article, the indices to be applied shall be those mentioned in article 89.

 

For the purposes of this law, shares, securities and certificates of deposit of shares and other securities, quotas and shares - including shares of mutual funds and certificates of participation in financial trusts and any other rights on trusts and similar contracts -, digital currencies, Securities, bonds and other securities, will not be considered as exchange assets and, consequently, will be governed by the specific rules established by this law for said assets. (Last paragraph replaced by article 36 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that the compose, see Article 86 of the Reference Law)

 

Art. 53 - For the purposes of the application of the estimated annual revaluation cost system, the following procedure will be followed:

 

a) Bovine, ovine and porcine finances, with the exception of those indicated in section c): the value of the most sold category during the last THREE (3) months of the year will be taken as the base value of each species, which will be the same SIXTY PERCENT (60%) of the weighted average price obtained by the sales of said category in the aforementioned period.

 

If in the aforementioned term there were no sales of animals of own production or they were not representative, the value to be taken as a basis will be that of the category of livestock acquired in greater quantity during its course, which will be given by SESENTA POR ONE HUNDRED (60%) of the weighted average price paid for the purchases of these categories in the aforementioned period.

 

If the provisions of the preceding paragraphs are not applicable, the SIXTY PERCENT (60%) of the weighted average price that would have been recorded for the best-selling hacienda category in the market in which the livestock owner usually operates.

 

In all cases, the value of the other categories will be established by applying to the determined base value, the relationship indexes contained in the tables annexed to Law No. 23,079.

 

b) Other haciendas, with the exception of those considered in section c): the value to practice the appraisal -by head and without distinction of categories- will be equal in each species to SIXTY PERCENT (60%) of the weighted average price that in the THREE (3) last months of the year arise from your sales or purchases or, in the absence of both, from the operations registered for the species in the market in which the farmer customarily operates.

 

c) Wives, understood as such that are intended to meet this purpose: the value that will result from applying to the value that at the beginning of the year would have the category to which the womb belongs at the end, the same coefficient will be taken as the value of the appraisal. used to calculate the adjustment for tax inflation.

 

d) The appraisal system applied to the bellies may be used by breeders for the entire farm of own production, when the entire production cycle is carried out in establishments located outside the central livestock area defined by the resolutions J -478/62 and J-315/68 of the former NATIONAL BOARD OF MEAT.

 

The final stocks of the activity initiation exercise will be valued according to the procedure established by the regulation based on the purchases of the same.

 

Art. 54 - For the purposes of this tax, the entire hacienda-whatever its category-of an agricultural establishment is considered merchandise.

 

However, for the purposes of the provisions of article 84, the treatment of fixed assets will be granted to the acquisitions of broodstock, including females, when they are pedigree or pure by crossing.

 

Art. 55 - To practice the tax balance, the inventories of buildings and works under construction that have the character of inventories shall be computed by the amounts that are determined according to the following standards:

 

a) Acquired properties:

 

At the acquisition value -including the expenses necessary to carry out the operation- updated from the date of purchase until the closing date of the fiscal year.

 

b) Constructed properties:

 

To the value of the land, determined according to the previous paragraph, the updated construction cost will be added from the date of completion of the construction until the closing date of the year. The construction cost will be established by updating the amounts invested in the construction, from the date in which each of the investments had been made up to the construction completion date.

 

c) Works under construction:

 

The value of the land, determined in accordance with subparagraph a), will be added to the amount resulting from updating the amounts invested from the date on which the investment was made up to the closing date of the year.

 

d) Improvements:

 

The value of the improvements will be determined by updating each of the sums invested, from the date on which the investment was made until the end date of the improvements and the amount obtained will be updated from this last date until the closing date of the year. In the case of ongoing improvements, the investments will be updated from the date they were made until the closing date of the year.

 

In the cases in which some of the goods included in this article are sold, the cost to be imputed will be equal to the tax value assigned to them in the initial inventory corresponding to the year in which the sale is made. If investments were made from the beginning of the year to the date of sale, the amount will be added, without updating, to the aforementioned cost.

 

For the purposes of the update provided for in this article, the indices to be applied shall be those mentioned in article 89.

 

Art. 56 - For the valuation of inventories of inventories, when it can be proved in a reliable manner that the cost in place of the assets, at the closing date of the fiscal year, is lower than the amount determined in accordance with established in articles 52 and 55, may be allocated to such goods the cost in place, based on the value that arises from the evidence. To make use of this option, the TAX GENERAL ADMINISTRATION should be informed of the methodology used to determine the cost in place, at the time of filing the sworn statement corresponding to the fiscal year in which said cost would have been used for the valuation. of the aforementioned stocks.

 

Art. 57 - When the taxpayer withdraws for his private use or that of his family or destines merchandise of his business to activities whose results are not reached by the tax (recreation, stud, donations to non-exempt persons or entities, etc.), The effects of this lien will be considered that such acts are performed at the price obtained in onerous transactions with third parties.

 

The same treatment will be applicable to the operations carried out by a company on behalf of and to its partners.

 

Art. 58 - When depreciable personal property is disposed of, the gross profit shall be determined by deducting from the sale price, the computable cost established in accordance with the norms of this article:

 

a) Acquired assets:

 

At the cost of acquisition, updated from the date of purchase until the date of disposal, the amount of ordinary depreciation, calculated on the updated value, will be subtracted, in accordance with the provisions of point 1 of article 84, regarding the periods of elapsed useful life or, where appropriate, depreciation applied under special rules.

 

b) Manufactured, manufactured or constructed goods:

 

The cost of manufacturing, manufacturing or construction will be determined by updating each of the amounts invested from the date of investment until the date of completion of the preparation, manufacture or construction. The amount thus obtained, updated from this last date until the sale, will be subtracted the amortizations calculated in the manner provided in the preceding paragraph.

 

c) Inventories that are affected as property, plant and equipment:

 

The same procedure as that established in subparagraph a) will be used, considering as the acquisition value the tax value that was assigned to the exchange good in the initial inventory corresponding to the period in which the affectation was made and as the purchase date of the Start of the exercise. When assets not included in the initial inventory are affected, the cost of the first purchases in the year will be taken as acquisition value, in which case the update will be applied from the date of the aforementioned purchase.

 

The subjects that must make the adjustment for inflation established in Title VI, to determine the computable cost, will update the costs of acquisition, elaboration, investment or affectation until the closing date of the previous year to that in which the transfer is made. Likewise, when they sell goods they have acquired in the same year to which the sale date corresponds, for the purposes of determining the computable cost, they must not update the purchase value of the aforementioned goods. These provisions will be applicable if the conditions set forth in the last two paragraphs of article 95 of this law are verified. If these conditions are not met, the provisions set forth in the preceding paragraph shall apply. (Second last paragraph replaced by Article 37 of Law N ° 27,430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that the compose, see Article 86 of the Reference Law)

 

For the purposes of the update referred to in this article, the rates mentioned in article 89 shall apply.

 

Art. 59 - When properties are transferred that do not have the character of goods of change, the gross profit will be determined by deducting from the sale price, the computable cost resulting from the application of the rules of this article:

 

a) Acquired properties:

 

The cost of acquisition -including the expenses necessary to carry out the operation- updated from the date of purchase until the date of disposal.

 

b) Constructed properties:

 

The cost of construction will be established by updating each of the investments, from the date on which the investment was made to the date of completion of the construction.

 

At the value of the land determined in accordance with subsection a), the updated construction cost will be added from the date of completion of the construction until the date of disposal.

 

c) Works under construction:

 

The value of the land determined pursuant to subparagraph a), plus the amount resulting from updating each of the investments from the date they were made up to the disposal date.

 

If improvements were made on the assets sold, the value of the same will be established by updating the sums invested from the date of investment until the date of completion of the improvements, calculating as cost said value, updated from the date of completion until the date of alienation. In the case of ongoing improvements, the cost will be established by updating the investments from the date they were made until the date of disposal of the asset.

 

In the cases in which the alienated assets have been affected to activities or investments that originate results achieved by the tax, the amounts obtained in accordance with the provisions of the preceding paragraphs will be subtracted from the amount resulting from applying the amortizations to which they are subject. refers to article 83, for the periods in which the assets had been affected to said activities.

 

When the transferor is a subject obliged to make the adjustment for inflation established in Title VI, the provisions of the penultimate paragraph of Article 58 shall apply.

 

The updating foreseen in this article will be carried out applying the indices mentioned in article 89.

 

Art. 60 - When keys, brands, patents, concession rights and other similar assets are sold, the gross profit shall be established by deducting from the sale price the updated acquisition cost through the application of the indexes mentioned in article 89, from the date of purchase until the date of sale. The amount thus obtained will be reduced in the amortizations that would have corresponded to apply, calculated on the updated value.

 

In cases in which the transferor is a subject that must practice the adjustment for inflation established in Title VI, the provisions of the penultimate paragraph of article 58 shall apply.

 

Art. 61 - When shares, quotas or social participations are disposed of, including shares of mutual funds, the gross profit will be determined by deducting the updated acquisition cost from the transfer price, by applying the indices mentioned in the article. 89, from the date of acquisition until the date of transfer. In the case of liberated shares, their updated nominal value will be taken as acquisition cost. To such ends it will be considered, without admitting evidence to the contrary, that the alienated goods correspond to the oldest acquisitions of the same kind and quality.

 

In cases where shares received as of October 11, 1985, are transferred as dividends that are exempt or not considered benefits for the purposes of the lien, no cost will be computed.

 

The provisions of this article shall also apply to the representative securities and certificates of deposit of shares and other securities, certificates of participation of financial trusts and any other right over trusts and similar contracts. (Second last paragraph incorporated by Article 38 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that the compose, see Article 86 of the Reference Law)

 

When the transferor is a subject that must practice the adjustment for inflation established in Title VI, the provisions of the penultimate paragraph of article 58 shall apply.

 

Art. 62 - When signs or advance payments have been delivered that freeze the price, prior to the date of acquisition of the goods referred to in articles 58 to 61, for the purposes of determining the acquisition cost, the amount of the updates of these concepts, calculated through the application of the indices mentioned in article 89, from the date they were made effective until the acquisition date.

 

Art. 63 - When digital currencies, public securities, bonds and other securities are sold, the cost to be imputed will be equal to the tax value assigned to them in the initial inventory corresponding to the year in which the transfer is made. In the case of acquisitions made during the year, the computable cost will be the purchase price. (Paragraph replaced by article 39 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it See Article 86 of the Reference Law)

 

In its case, it will be considered without admitting proof to the contrary that the alienated goods correspond to the oldest acquisitions of the same kind and quality.

 

Art. 64 - Dividends, as well as distributions in shares arising from revaluations or accounting adjustments will not be computable by their beneficiaries for the determination of their net profit.

 

For the purposes of the determination of the same will be deducted -with the limitations established in this law- all the necessary expenses to obtain the benefit, provided that they had not already been considered in the liquidation of this tax.

 

The same treatment will have the utilities that the subjects included in sections 2, 3, 6, 7 and 8 of subsection a) of article 69, distribute to their partners, members, trustors, beneficiaries or share-holders. (Last paragraph replaced by Article 40 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that the compose, see Article 86 of the Reference Law)

 

(Article replaced by Law No. 25,063 , Title, art.4, subsection ñ). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, the fiscal year in course to that date.)

 

Art. 65 - When the proceeds come from the alienation of goods that are not exchange assets, real estate, amortizable movable assets, intangible assets, shares, representative securities and certificates of deposit of shares and other securities, quotas and social participations -including shares. of common funds of investment and certificates of participation of financial trusts and any other right on trusts and similar contracts-, digital currencies, Securities, bonds and other values, the result will be established deducting from the value of alienation the cost of acquisition, manufacture, construction and the amount of improvements made.

 

(Article replaced by Article 41 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. 66 - When any of the depreciable assets, except the real estate, are out of use (disuse), the taxpayer may choose between continuing to amortize it annually until the original value is extinguished or to allocate the resulting difference between the amount not yet amortized and the sale price, in the tax balance of the year in which it is made.

 

When applicable, the rules on the adjustment of the amortization and the value of the assets contained in articles 58 and 84 shall apply.

 

Art. 67 - In the event of replacement and disposal of an amortizable movable property, it may be chosen to allocate the gain from the alienation to the tax balance or, failing that, to affect the profit at the cost of the new asset, in which case the expected amortization in article 84, the cost of the new good must be practiced, reduced by the amount of the affected profit.

 

Said option will also be applicable when the replaced property is a property affected to the exploitation as a use good or affected to lease or lease or onerous assignments of usufruct, use, habitation, antichresis, surface or other real rights, whenever such destination has, at least, an age of two (2) years at the time of the sale and to the extent that the amount obtained in the transfer is reinvested in the replacement asset or in other affected assets of use to any of the aforementioned destinations, even if it was land or fields. (Paragraph replaced by Article 42 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

The option to affect the benefit at the cost of the new good will only proceed when both operations (sale and replacement) are made within the term of ONE (1) year.

 

When, in accordance with what is established by this law or its regulatory decree, it is appropriate to allocate to the year profits that are opportunely affected to the acquisition or construction of the replacement good or goods, the respective amounts must be updated by applying the update index mentioned in article 89, referred to the month of the closing of the fiscal year in which the affected profit was determined, according to the table prepared by the GENERAL TAX ADDRESS for the month of the closing of the fiscal year in which it corresponds to impute the profit.

 

Art. 68 - To account for transactions in foreign currency, a uniform system must be followed and the exchange rates to be used shall be those established by the regulations for each class of operations. The exchange differences will be determined by annual revaluation of the unpaid balances and by those that occur between the last valuation and the amount of the total or partial payment of the balances, and they will be imputed to the annual tax balance.

 

CAPITAL COMPANIES

 

FEES

 

OTHER SUBJECTS UNDERSTOOD

 

Art. 69 - Capital companies, for their net taxable profits, are subject to the following rates:

 

a) to twenty-five percent (25%):

 

1. Public limited companies -including joint-stock companies-, limited partnerships for shares, in the part corresponding to limited partners, and simplified companies under Title III of Law 27,349, incorporated in the country.

 

2. The limited liability companies, the limited partnerships and the part corresponding to the joint partners of the limited partnerships by shares, in all cases in the case of companies incorporated in the country.

 

3. The associations, foundations, cooperatives and civil and mutual entities, incorporated in the country, as far as this law does not correspond to another tax treatment.

 

4. Mixed economy companies, for the part of the profits not exempt from the tax.

 

5. The entities and bodies referred to in article 1 of Law 22,016, not included in the preceding sections, as far as other tax treatment is not applicable pursuant to the provisions of article 6 of said law.

 

6. Trusts established in the country in accordance with the provisions of the Civil and Commercial Code of the Nation, except those in which the trustor has the status of beneficiary. The exception provided in this paragraph shall not apply in cases of financial trusts or when the trustor-beneficiary is a subject included in Title V.

 

7. Mutual funds constituted in the country, not included in the first paragraph of article 1 of Law 24,083 and its amendments.

 

8. The companies included in subsection b) of article 49 and the trusts included in subsection c) of the same article that choose to pay according to the provisions of this article. Said option may be exercised as long as said subjects have accounting records that allow them to prepare trade balances and must be maintained for the period of five (5) fiscal periods counted from the first year in which the option is applied.

 

The subjects mentioned in sections 1 to 7 above are included in this subsection from the date of the founding act or the conclusion of the respective contract, as applicable, and for the subjects mentioned in section 8, from the first day of the fiscal year following the of the exercise of the option.

 

b) Twenty-five five percent (25%):

 

The derivatives of permanent establishments defined in the article without added number after article 16.

 

These establishments must enter the additional rate of thirteen percent (13%) at the time of remitting the profits to their parent company. (First paragraph of the article replaced by Article 43 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that compose it, see Article 86 of the Reference Law)

 

However, the income derived from the exploitation of games of chance in casinos (roulette, point and banking, blackjack, poker and / or any other authorized game) and the making of bets through electronic gaming machines and / or of automated bets (of immediate resolution or not) and / or through digital platforms will be taxed at forty-one point fifty percent (41.50%). The aliquot mentioned will be applicable for both human and legal persons. (Paragraph incorporated by Article 1 pt 3 of Law N ° 27.346 BO 27/12/2016 Effective: from its publication in the Official Gazette and will take effect for the fiscal years in course to the date of entry into validity of the Reference Law).

 

The Federal Administration of Public Revenues, an autarkic entity within the scope of the Ministry of Finance and Public Finance, will establish the operating conditions for the application of this aliquot and for the appropriation of expenses incurred in order to obtain, maintain and preserve taxable profits. the previous paragraph is mentioned, in accordance with the provisions of the first paragraph of article 80 of this law. (Paragraph incorporated by Article 1 pt 3 of Law N ° 27.346 BO 27/12/2016 Effective: from its publication in the Official Gazette and will take effect for the fiscal years in course to the date of entry into validity of the Reference Law).

 

(Article replaced by Law No. 25,063 , Title III, art. 4, clause o). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, the fiscal year in course to that date.)

 

Art. ... - When the subjects included in sections 1, 2, 3, 6 and 7 of subsection a) of Article 69, as well as those indicated in subsection b) of the same article, make dividend payments or, where appropriate, distribute profits, in cash or in kind, that exceed the earnings determined based on the application of the general rules of this law, accumulated at the close of the fiscal year immediately prior to the date of said payment or distribution, shall retain with single and definitive payment character, thirty-five percent (35%) over the referred surplus.

 

For the purposes of the provisions of the preceding paragraph, the gain to be considered in each year shall be that resulting from deducting the profit determined based on the application of the general rules of this law, the tax paid for the fiscal period (s) origin of the profit that is distributed or the corresponding proportional part and add the dividends or profits from other capital companies not computed in the determination of said profit in the same fiscal periods.

 

In the case of dividends or profits in kind, the income of the indicated withholding will be made by the subject who makes the distribution or the paying agent, without prejudice to their right to demand the reimbursement by the beneficiaries and to defer the delivery of the goods until the regime becomes effective.

 

The provisions of this article shall not apply to financial trusts whose certificates of participation are placed by public offering, in the cases and conditions established in the regulations.

 

(Article incorporated after Article 69 by Law No. 25,063 , Title III, art.4, paragraph p). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, the fiscal year in course to that date.)

 

( Note : by art 83 of Law N ° 27.430 BO 29/12/2017 it is established that the provisions foreseen in the first article without added number following article 69 of the Law of Income Tax, text ordered in 1997 and its amendments, will not be applicable for dividends or profits attributable to earnings accrued in fiscal years beginning on or after January 1, 2018. Validity: the day following its publication in the Official Gazette and will take place effect in accordance with the provisions of each one of the Titles that compose it, See Article 86 of the Reference Law)

 

RENTALS OF PRIVATE SECURITIES - WITHHOLDING

 

Art 70 - ( Article repealed by Article 80 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that compose it See article 86 of the Reference Law)

 

Art 71 - ( Article repealed by Article 80 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that compose it See article 86 of the Reference Law)

 

Art. 72 - When the provision of dividends or the distribution of profits, in kind, originates a difference between the current value in place at that date and its tax cost, relative to all the goods distributed under these conditions, it is it will consider the result reached by this tax and it must be included in the tax balance of the entity corresponding to the year in which the making available or distribution takes place.

 

Art. 73 - Any provision of funds or goods made in favor of third parties by the subjects included in subparagraph a) of article 49, which does not respond to operations performed in the interest of the company, will boast, without admitting evidence to the contrary , a taxable profit that will be determined according to the following parameters:

 

a) In the case of disposition of funds, an annual interest equivalent to the one established by the regulation will be presumed, according to each type of currency.

 

b) With respect to the dispositions of goods, a gain equivalent to eight percent (8%) per annum of the current value in place of real estate and twenty percent (20%) per annum of the current value in place with respect to the rest is presumed of the goods.

 

If payments are made during the same fiscal period for the use or enjoyment of said assets, the amounts paid may be discounted for the purposes of this presumption.

 

The foregoing provisions shall not apply in cases where such subjects make dispositions of goods to third parties under market conditions, as provided in the regulations.

 

Nor shall they be applicable when the treatment provided for in the third and fourth paragraphs of article 14 or in the first article added after article 46 is applicable.

 

(Article replaced by Article 44 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

CONSTRUCTION COMPANIES

 

Art. 74 - In the case of constructions, reconstructions and repairs of any nature for third parties, in which the operations generating the benefit affect more than one fiscal period, the gross result thereof shall be declared in accordance with any of the following methods, at the option of the taxpayer:

 

a) Assigning to each fiscal period the gross profit that results from applying, on the collected amounts, the percentage of gross profit foreseen by the taxpayer for the whole work.

 

Said coefficient may be modified - for the part corresponding to years not yet declared - in case of evident alteration of the foreseen when contracting.

 

The percentages referred to above are subject to the approval of the GENERAL ADMINISTRATIVE DIRECTORATE.

 

b) Assigning to each fiscal period the gross profit resulting from deducting from the amount receivable for all the work carried out in it, the expenses and other elements determining the cost of such work.

 

When the determination of the benefit in the form indicated is not possible or is difficult, the gross profit contained in the construction may be calculated following a procedure analogous to that indicated in subparagraph a).

 

In the case of works that affect TWO (2) fiscal periods, but their total duration does not exceed ONE (1) year, the result may be declared in the year in which the work is completed.

 

The GENERAL TAX ADMINISTRATION, if considered justified, may authorize equal treatment for those works that take more than ONE (1) year, when such delay is motivated by special circumstances (strike, lack of material, etc.).

 

In the cases of subparagraphs a) and b), the difference in plus or minus that is ultimately obtained, resulting from comparing the final gross profit of the entire work with that established by any of the procedures indicated in said paragraphs, shall affect in the year in which the work is completed.

 

Once a method has been chosen, it must be applied to all works, works, etc., that the taxpayer may carry out and may not be changed without prior express authorization of the GENERAL TAX ADMINISTRATION, which will determine from which fiscal period the method can be changed. .

 

MINES, QUARRIES AND FORESTS

 

Art. 75 - The tax value of mines, quarries, forests and similar goods will be given by the part of the cost attributable to them, plus, if applicable, the expenses incurred to obtain the concession.

 

When the exploitation of such goods is carried out in a way that implies a consumption of the substance producing the rent, the deduction shall be allowed proportionally to the exhaustion of said substance, calculated according to the units extracted. The regulations may provide, taking into consideration the characteristics and nature of the activities referred to in this article, update rates applicable to said deduction.

 

The tax value of the mines, quarries, forests and similar goods referred to in the first paragraph of this article, the costs tending to satisfy the technical and environmental requirements by the concessionaire and / or permit holder, required by the applicable regulations, are part of the tax value. dictated by the competent enforcement authority. Said costs must be included from the moment in which the aforementioned technical and environmental obligations originate in accordance with current legislation, regardless of the period in which the expenditures are made. (Third paragraph incorporated by Article 45 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that the compose, see Article 86 of the Reference Law)

 

The GENERAL TAX ADDRESS may authorize other systems intended to consider such exhaustion provided they are technically justified.

 

Art. 76 - When with the taxpayer's elements it is not feasible to determine the gross profit in the exploitation of natural forests, the GENERAL TAX ADDRESS shall determine the applicable gross profit coefficients.

 

REORGANIZATION OF COMPANIES

 

Art. 77 - When companies, goodwill and in general companies and / or holdings of any nature are reorganized under the terms of this article, the results that may arise as a result of the reorganization will not be achieved by the tax of this law, provided that the continuation entity or entities continue, during a period of not less than TWO (2) years from the date of the reorganization, the activity of the restructured company or companies or another related to them.

 

In such cases, the tax rights and obligations established in the following article, corresponding to the subjects that are reorganized, will be transferred to the continuing entity (s).

 

The change of activity before the expiration of the aforementioned period will have the effect of a resolutory condition. The reorganization must be communicated to the GENERAL ADMINISTRATIVE DIRECTORATE in the terms and conditions that it establishes.

 

In the case of non-compliance with the requirements established by this law or its regulatory decree so that the reorganization has the anticipated tax effects, the corresponding sworn declarations must be presented or rectified applying the legal provisions that would have corresponded if the operation had been carried out in the margin of the present regime and enter the tax plus the update established by Law No. 11,683, without prejudice to the interests and other accessories that apply.

 

When the reorganization does not result in the total transfer of the reorganized company (s), except in the case of a spin-off, the transfer of the tax rights and obligations shall be subject to the prior approval of the GENERAL TAX ADDRESS.

 

It is understood by reorganization:

 

a) The merger of pre-existing companies through a third that is formed or by absorption of one of them.

 

b) The split or division of a company into another or others that continue together the operations of the first.

 

c) Sales and transfers from one entity to another that, despite being legally independent, constitute the same economic group.

 

In the case of other sales and transfers, the tax rights and obligations established in the following article will not be transferred, and when the assigned transfer price is higher than the current in place of the respective assets, the value to be considered tax will be said price of place, the treatment that this law gives to the key item must be dispensed to the surplus.

 

In order for the reorganization to have the tax effects foreseen in this article, the owner (s) of the predecessor company (s) must maintain a minimum participation amount for a period of not less than two (2) years from the date of the reorganization. which should have to that date in the capital of the or continuing companies, according to what, for each case, establish the regulation. (Paragraph incorporated by Law No. 25,063 , Title III, art.4, paragraph r). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, the fiscal year in course to that date.)

 

The requirement foreseen in the previous paragraph will not apply when the continuing companies or companies list their shares in self-regulated stock markets, and must maintain this quotation for a period not less than two (2) years from the date of the reorganization. (Paragraph incorporated by Law No. 25,063 , Title III, art.4, paragraph r). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, the fiscal year in course to that date.)

 

Notwithstanding the provisions of the preceding paragraphs, accumulated tax losses not prescribed and tax exemptions pending use, arising from the acceptance of special promotion regimes, to which, respectively, subparagraphs 1) and 5) of article 78 refer. they will only be transferable to the continuation company (s) when the owners of the predecessor company (s) prove that they have maintained it for a period not less than two (2) years prior to the date of the reorganization or, if applicable, from its incorporation if this circumstance will cover a shorter period, at least eighty percent (80%) of their participation in the capital of these companies, except when the latter list their shares in self-regulated stock markets. (Paragraph incorporated by Law No. 25,063 , Title III, art.4, paragraph r). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, the fiscal year in course to that date.)

 

The limitations referred to in the preceding paragraphs will not apply when dealing with reorganizations that occur within the framework of a bankruptcy proceeding and / or the reorganization is authorized by the Federal Administration of Public Revenues, as a way to ensure the continuity of the business operation. . (Paragraph incorporated by Law No. 25,063 , Title III, art.4, paragraph r). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, fiscal year in course to that date. Note: Paragraph observed by the Executive Power through Decree No. 1,517 / 98.)

 

Art. 78 - The tax rights and obligations that can be transferred to the continuation company (s), in the cases foreseen in the previous article, are:

 

1) Tax losses not prescribed, accumulated.

 

2) The pending balances of imputation originated in positive inflation adjustments.

 

3) The balances of tax exemptions or special deductions not used due to limitations on the amount computable in each fiscal period and that could be transferred to future years.

 

4) Deferred charges that have not been deducted.

 

5) The tax exemptions pending use to which the predecessor company or companies had been entitled, by virtue of the acceptance of special promotion regimes, while the basic conditions taken into account to grant the benefit are maintained in the new company (s).

 

For these purposes, the enforcement agency designated in the respective provision shall be issued.

 

6) The tax valuation of the use, exchange and intangible assets, whatever the value assigned for the purposes of the transfer.

 

7) Refunds to the tax balance as a result of the sale of goods or decrease in stocks, when franchises have been used or the tax revaluation of assets has been carried out by the predecessor entities, in the cases in which they are foreseen by the respective laws

 

8) Depreciation systems for fixed and intangible assets.

 

9) The methods of imputation of profits and expenses to the fiscal year.

 

10) The calculation of the terms referred to in Article 67, when the tax treatment depends on it.

 

11) The imputation systems of the forecasts whose deduction is authorized by law.

 

If the transfer of the systems referred to in sections 8), 9) and 11) of this article results in the use of different criteria or methods for similar situations in the new company, the latter must choose in the first fiscal year for one or another of those followed by the predecessor companies, unless they refer to cases in respect of which different treatments may be applied in the same company or operation.

 

In order to use criteria or methods different from those of the predecessor companies, the new company must request prior authorization from the GENERAL TAX ADMINISTRATION, provided that the legal or regulatory provisions so require.

 

CHAPTER IV

 

PROFITS OF THE FOURTH CATEGORY

 

INCOME FROM PERSONAL WORK IN RELATIONSHIP OF DEPENDENCE AND OTHER INCOME.

 

(Denomination replaced by article 1, point 4 of Law N ° 27.346 BO 27/12/2016 Effective: as of its publication in the Official Gazette and will take effect from fiscal year 2017, inclusive).

 

Art. 79 - Fourth category earnings are those coming from:

 

a) On the performance of national, provincial and municipal public offices and of the Autonomous City of Buenos Aires, without exception, including the elective positions of the Executive and Legislative Powers.

 

In the case of the Magistrates, Officials and Employees of the Judicial Power of the Nation and of the provinces and of the Public Ministry of the Nation when their appointment had occurred as of the year 2017, inclusive. (Subparagraph substituted by Article 1 of Item 5 of Law No. 27,346 of BO 12/27/2016 Effective as of its publication in the Official Gazette and will take effect as of fiscal year 2017, inclusive).

 

b) Of the personal work executed in relation of dependence.

 

c) Retirements, pensions, withdrawals or subsidies of any kind as soon as they have their origin in personal work and to the extent that they have been subject to the payment of the tax, and of the directors of the cooperative societies. (Subparagraph substituted by Article 1 of Item 5 of Law No. 27,346 of BO 12/27/2016 Effective as of its publication in the Official Gazette and will take effect as of fiscal year 2017, inclusive).

 

d) Of the net benefits of non-deductible contributions, derived from compliance with the requirements of private retirement insurance plans administered by entities subject to the SUPERINTENDENCE OF INSURANCE control, as soon as they have their origin in personal work.

 

e) Of the personal services provided by the members of the cooperative societies mentioned in the last part of subsection g) of article 45, who work personally on the farm, including the return received by them.

 

f) Of the exercise of liberal professions or offices and functions of executor, trustee, agent, manager of businesses, director of corporations and fiduciary. (Paragraph replaced by Article 46 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

The amounts allocated to this category are also considered to be earnings, as provided in subsection

 

j) of article 87, to the managing partners of the limited liability companies, in simple and limited partnerships for shares.

 

g) Derivatives of the activities of broker, commercial traveler and customs broker.

 

Without prejudice to the other provisions of this law, for those who work in executive and executive positions of public and private companies, as established in the regulations, this article includes the sums generated exclusively by reason of their termination from work, whatever their status. its denomination, which exceeds the minimum indemnity amounts provided for in the applicable labor regulations. When these sums have their origin in a consensual agreement (mutual agreement processes or voluntary retirement, among others) they will be reached as soon as they exceed the minimum indemnity amounts foreseen in the applicable labor regulations in the case of dismissal without cause. (Second paragraph incorporated by Article 47 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that the compose, see Article 86 of the Reference Law)

 

Compensation in cash and in kind and per diems paid as advance or reimbursement of expenses, for service commissions carried out outside the headquarters where the tasks are provided, that are received for the exercise of the services, will also be considered gains in this category. activities included in this article. (Paragraph replaced by Article 1 of Item 6 of Law No. 27,346 of BO 12/27/2016 Effective as of its publication in the Official Gazette and will take effect as of fiscal year 2017, inclusive).

 

However, the deduction provided for in article 82 paragraph e) of this law shall apply, in the amount set by the Federal Administration of Public Revenues, an autarchic entity within the scope of the Ministry of Finance and Public Finance, based on, among other parameters, the activity developed, the geographical area and the modalities of the provision of services, which may not exceed the equivalent to forty percent (40%) of the non-taxable gain established in subparagraph a) of article 23 of the present law. (Paragraph incorporated by virtue of the substitution provided by article 1, paragraph 6, of Law N ° 27.346, BO 12/27/2016 Effective: from its publication in the Official Gazette and will take effect as of fiscal year 2017 , inclusive).

 

With respect to long distance transport activities, the deduction indicated in the preceding paragraph may not exceed the amount of the non-taxable gain established in subparagraph a) of article 23 of this law. (Paragraph incorporated by virtue of the substitution provided by article 1, paragraph 6, of Law N ° 27.346, BO 12/27/2016 Effective: from its publication in the Official Gazette and will take effect as of fiscal year 2017 , inclusive).

 

Profits of this category will also be considered as sums paid to teaching staff as an additional amount for teaching materials that exceed forty percent (40%) of the non-taxable gain established in subparagraph a) of article 23 of this law. (Paragraph incorporated by virtue of the substitution provided by article 1, paragraph 6, of Law N ° 27.346, BO 12/27/2016 Effective: from its publication in the Official Gazette and will take effect as of fiscal year 2017 , inclusive).

 

For such purposes, the Federal Administration of Public Revenues will establish the conditions under which the computation of this deduction will be effective. (Paragraph incorporated by virtue of the substitution provided by article 1, paragraph 6, of Law N ° 27.346, BO 12/27/2016 Effective: from its publication in the Official Gazette and will take effect as of fiscal year 2017 , inclusive).

 

TITLE III

 

OF DEDUCTIONS

 

Art. 80 - The expenses whose deduction this law allows, with the express restrictions contained in it, are those made to obtain, maintain and keep the profits taxed by this tax and subtracted from the profits produced by the source that originates them. When the expenses are incurred in order to obtain, maintain and keep taxable, exempt and / or unencumbered income generated by different production sources, the deduction shall be made from the gross profits that each of them produces in the respective part or proportion. . When there are practical reasons, and provided that this does not alter the amount of the tax payable, it will be admitted that the total of one or more expenses is deducted from one of the producing sources.

 

(Article replaced by Article 48 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. ... - Expenses incurred in the Argentine Republic are presumed to be linked to Argentine source earnings. Notwithstanding the provisions of subsection e) of article 87 of the law, expenses incurred abroad are presumed to be linked to foreign-source earnings. However, your deduction of the Argentine source of income may be accepted if it is duly proven that you are destined to obtain, maintain and keep profits from this source.

 

(Article s / n incorporated after Article 80, by Article 49 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions in each one of the Titles that compose it, see article 86 of the Reference Law)

 

Art. 81 - From the profit of the fiscal year, whatever the source of profit and with the limitations contained in this law, it may be deduced:

 

a) The interests of debts, their respective updates and the expenses originated by the constitution, renewal and cancellation of the same.

 

In the case of individuals and undivided estates, the causal link established in article 80 shall be established in accordance with the principle of equity. As such, only the concepts referred to in the preceding paragraph will be deductible, when it can be shown that they originate in debts contracted for the acquisition of goods or services that affect the obtaining, maintenance or conservation of taxable profits. No deduction shall be made in the case of taxable profits that, in accordance with the provisions of this law, tax the withholding tax as a single and definitive payment.

 

Notwithstanding the provisions of the preceding paragraph, the subjects indicated therein may deduct the amount of the interest corresponding to mortgage loans that have been granted to them for the purchase or construction of real estate intended for the taxpayer's house, or for the deceased. the case of undivided successions, up to the sum of twenty thousand pesos ($ 20,000) per year. In the case of condominium properties, the amount to be deducted for each condominium owner may not exceed the amount resulting from applying the percentage of their participation over the previously established limit.

 

In the case of the subjects included in article 49, the interest on financial debts - excluding, as a consequence, the debts generated by acquisitions of goods, leases and services related to the business - contracted with subjects, residents or not in the Argentine Republic, linked in the terms of the article incorporated after Article 15 of this law, will be deductible from the tax balance corresponding to the imputation, not being able to overcome such deduction the annual amount established by the National Executive Power or the equivalent to thirty percent (30%) of the net profit of the fiscal year that results before deducting both the interest referred to in this paragraph and the amortizations foreseen in this law, whichever is greater. (Paragraph substituted by Article 50 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

The applicable limit referred to in the preceding paragraph may be added to the surplus that has been accumulated in the three (3) previous fiscal years, since the amount of the interest actually deducted from the applicable limit, to the extent that said surplus has not been previously applied according to the procedure established in this paragraph. (Paragraph substituted by Article 50 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

The interests that, in accordance with the provisions of the preceding paragraphs, could not have been deducted, may be added to those corresponding to the following five (5) fiscal years, remaining subject to the limitation mechanism provided therein. The provisions of the fourth paragraph of this subsection shall not apply in the following cases:

 

1. For entities governed by Law 21,526 and its amendments.

 

2. For financial trusts constituted in accordance with the provisions of articles 1,690 to 1,692 of the Civil and Commercial Code of the Nation.

 

3. For companies whose main purpose is the conclusion of leasing contracts in the terms, conditions and requirements established by articles 1,227 and following of the Civil and Commercial Code of the Nation and in a secondary manner, they exclusively perform financial activities.

 

4. For the amount of the interest that does not exceed the amount of the active interest.

 

5. When it is convincingly demonstrated that, for a fiscal year, the relationship between the interests subject to the limitation of the fourth paragraph of this subsection and the net profit referred to therein, is lower or equal to the ratio that, in that year fiscal, the economic group to which the subject in question owns by liabilities contracted with independent creditors and their net profit, determined in a manner analogous to what is provided there, according to the requirements established by the regulations; or

 

6. When it is convincingly demonstrated, in accordance with the regulations, that the beneficiary of the interests referred to in said fourth paragraph has effectively taxed such income, in accordance with the provisions of this law. (Paragraph substituted by Article 50 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Interest will be subject, at the time of payment, to the current withholding regulations issued by the Federal Administration of Public Revenues, regardless of whether or not they are deductible. (Paragraph substituted by Article 50 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

For the purposes set out in the fourth to seventh paragraphs of this subparagraph, the term "interests" also includes exchange differences and, if applicable, updates generated by the liabilities that originate them, to the extent that it does not result of application the procedure foreseen in article 95 of this law, in accordance with the provisions of its second paragraph. The regulation may determine the inapplicability of the limitation provided in the fourth paragraph when the type of activity developed by the subject justifies it. (Paragraph incorporated by Article 50 of Law No. 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

(Subparagraph a) replaced by art. 4 ° of Law N ° 25.784 , BO 22/10/2003. - Validity: From the day of its publication in BO)

 

b) The sums paid by the policyholders and insured by:

 

(i) insurance for death cases; Y

 

(ii) mixed insurance -except for cases of private retirement insurance administered by entities subject to the control of the National Superintendence of Insurance-, in which both premiums covering the risk of death and savings premiums will be deductible .

 

Likewise, the sums destined for the acquisition of shares of mutual funds that are constituted for retirement purposes shall be deductible in the terms of the regulations issued by the National Securities Commission for such purposes and in the limits that are applicable for the deductions provided in points (i) and (ii) of this subsection b). (First paragraph replaced by Article 51 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that the compose, see Article 86 of the Reference Law)

 

Set as the maximum amount to be deducted for the items indicated in this subsection the sum of FOUR CENTS OF WEIGHT ($ 0.04) per year, whether or not it is a single premium.

 

The surplus of the maximum amount mentioned above will be deductible in the years of validity of the insurance contract after the payment, until the total paid by the insured is paid, taking into account, for each fiscal period, the aforementioned maximum limit.

 

The amounts whose deduction corresponds differ will be updated by applying the update index mentioned in article 89, referring to the month of December of the fiscal period in which the expense was made, according to the table prepared by the GENERAL ADMINISTRATIVE DIRECTORATE for the month of December of the period fiscal in which it is appropriate to practice the deduction.

 

c) Donations to national, provincial and municipal treasuries, to the Permanent Support Fund, to political parties recognized even in the case of electoral campaigns and to the institutions, included in subparagraph e) of article 20, carried out under the conditions determined the regulation and up to the limit of five percent (5%) of the net profit of the year. (First Paragraph substituted by Article 68 of Law No. 26,215 BO 17/1/2007).

 

The provisions set forth above shall also apply to the institutions included in subparagraph f) of said article 20, whose main objective is:

 

1. The realization of social assistance activity or charity medical care work, non-profit, including the activities of care and protection of children, old age, disability and disability. (Section 1 replaced by Article 52 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that the compose, see Article 86 of the Reference Law)

 

2. Scientific and technological research, even if it is intended for academic or teaching activity, and have a qualification certification regarding research programs, researchers and support staff participating in the corresponding programs, extended by the SECRETARIAT OF SCIENCE AND TECHNOLOGY under the MINISTRY OF CULTURE AND EDUCATION.

 

3. Scientific research on economic, political and social issues oriented to the development of political party plans.

 

4. The systematic educational activity and degree for the granting of degrees officially recognized by the MINISTRY OF CULTURE AND EDUCATION, as well as the promotion of cultural values, through the sponsorship, subsidy, dictation or maintenance of free courses provided in public educational establishments or private entities recognized by the Ministries of Education or similar, of the respective jurisdictions.

 

d) Contributions or discounts for retirement funds, withdrawals, pensions or subsidies, provided they are destined to national, provincial or municipal funds.

 

e) (Section repealed by Article 17 of Law N ° 26.425 BO 9/12/2008 Effective: from the date of its publication in the Official Gazette.)

 

f) Amortization of intangible assets that due to their characteristics have a limited term, such as patents, concessions and similar assets.

 

g) The obligatory discounts made for contributions for social works corresponding to the taxpayer and to the persons who have for it the character of family charges.

 

Likewise, the amounts paid as contributions or installments to institutions that provide medical care coverage, corresponding to the taxpayer and to the persons who qualify for this as family charges, will be deductible. This deduction may not exceed five percent (5%) of the net profit for the year. (Subparagraph substituted by Article 53 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

h) The fees corresponding to the health care, medical and paramedical services of the taxpayer and of the persons who have for him the nature of family charges: a) of hospitalization in clinics, sanatoriums and similar establishments; b) the accessory benefits of hospitalization; c) the services provided by physicians in all their specialties; d) the services provided by biochemists, dentists, physiotherapists, physiotherapists, psychologists, etc .; e) those provided by auxiliary technicians of medicine; f) all other services related to assistance, including transporting the wounded and sick in ambulances or special vehicles.

 

The deduction will be admitted provided that it is actually invoiced by the respective provider of the service and up to a maximum of forty percent (40%) of the total billing of the fiscal period in question, always and insofar as the amounts they are not reached by reimbursement systems included in health coverage plans. This deduction may not exceed five percent (5%) of the net profit for the year. (Subparagraph substituted by Article 53 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

i) Forty percent (40%) of the sums paid by the taxpayer, or the deceased in the case of undivided estates, in the form of rentals of real estate destined for his / her dwelling house, and up to the limit of the amount foreseen in the subsection a) of article 23 of this law, as long as the taxpayer or the decedent is not the owner of any property, whatever the proportion.

 

The Federal Administration of Public Revenues, an autarchic entity within the scope of the Ministry of Finance and Public Finance, will establish the conditions under which the computation of this deduction will be effective. (Subsection incorporated by article 1, point 7 of Law N ° 27.346, BO 27/12/2016 Effective: as of its publication in the Official Gazette and will take effect as of fiscal year 2017, inclusive).

 

j) The contributions corresponding to the private retirement insurance plans administered by entities subject to the control of the National Superintendence of Insurance. (Subsection incorporated by Article 54 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

In the case of donations to the Permanent Support Fund or to recognized political parties, including those made for electoral campaigns, the limit established for their deduction must be calculated independently from the rest of the donations. (Paragraph incorporated by article 41 of Law N ° 27.504 BO 31/5/2019 Effective date: the day following its publication in the Official Gazette)

 

For the purposes of determining the limits established in the first paragraph of subsection c) and in the second paragraph of subparagraphs g) and h), the aforementioned percentages shall be applied to the net earnings of the fiscal year that result before deducting the amount of the concepts included in the aforementioned norms, that of the losses of previous years and, when appropriate, the sums referred to in article 23 of the law. (Paragraph incorporated by Article 55 of Law No. 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

The national Executive Power will establish the maximum deductible amounts for the concepts referred to in subparagraphs b) and j). (Paragraph incorporated by Article 55 of Law No. 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

SPECIAL DEDUCTIONS OF THE CATEGORIES

 

FIRST, SECOND, THIRD AND FOURTH

 

Art. 82 - Of the gains of the first, second, third and fourth categories, and with the limitations of this law, the following may also be deducted:

 

a) The taxes and fees that fall on the goods that produce profits.

 

b) Insurance premiums that cover risks on goods that produce profits.

 

c) Extraordinary losses suffered by fortuitous event or force majeure in the assets that produce profits, such as fires, storms or other accidents or accidents, insofar as they are not covered by insurance or indemnities.

 

d) The losses duly proven, in the judgment of the GENERAL TAX ADMINISTRATION, arising from crimes committed against the exploitation assets of the taxpayers, by their employees, insofar as they were not covered by insurance or indemnities.

 

e) Mobility expenses, travel expenses and other similar compensations in the sum recognized by the GENERAL TAX ADDRESS.

 

f) Amortization due to attrition, exhaustion or obsolescence and losses due to disuse, in accordance with the provisions of the pertinent articles, except those included in subparagraph l) of article 88. ( Subparagraph substituted by Article 56 of Law N ° 27,430 BO 12/29/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it, see Article 86 of the Reference Law)

 

In the cases of clauses c) and d), the regulatory decree will determine the incidence that deductions will have on the cost of the good.

 

Art. 83 - As for the amortization of buildings and other constructions on properties affected by activities or investments that give rise to results achieved by the tax, except exchange goods, it will be admitted to deduct TWO PERCENT (2%) per year on the cost of the building. or construction, or on the part of the acquisition value attributable to them, taking into account the existing relationship in the tax assessment or, failing that, according to the fair value practiced for that purpose, until such cost or value is exhausted.

 

For the purposes of calculating the amortization referred to in the preceding paragraph, it must be applied from the beginning of the quarter of the fiscal year or calendar in which the asset has been affected, until the quarter in which the value is exhausted. of the goods or until the quarter immediately preceding that in which the goods are disposed of or desafected from the activity or investment.

 

The resulting amount will be adjusted according to the procedure indicated in paragraph 2) of article 84.

 

The GENERAL TAX ADMINISTRATION may admit the application of annual percentages higher than TWO PERCENT (2%), when it is conclusively proven that the useful life of the real estate is less than FIFTY (50) years and provided that said Organism is notified circumstance, at the time of filing the sworn statement corresponding to the first fiscal year in which they are applied.

 

Art. 84 - As an annual tax depreciation to compensate the wear of the property -except real estate- used by the taxpayer to produce taxable profits, it will be admitted to deduct the resulting sum according to the following norms:

 

1) The cost or value of acquisition of the goods will be divided by a number equal to the years of probable life of the same. The GENERAL TAX ADMINISTRATION may admit a different procedure (units produced, hours worked, etc.) when reasons of a technical nature justify it.

 

2) The ordinary amortization fee calculated in accordance with the provisions of the previous section, or the amortization fee paid by the taxpayer according to special rules, will be subject to the update rate mentioned in article 89, referred to the date of acquisition or construction that indicates the table prepared by the GENERAL TAX ADDRESS for the month corresponding to the closing date of the fiscal period that is settled. The amount thus obtained will be the annual deductible depreciation.

 

In the case of depreciable intangible assets, the amount to be deducted shall be determined by applying the rules established in the preceding paragraph.

 

For the purposes of determining the original value of the amortizable assets, commissions paid and / or credited to entities of the same economic group, intermediaries in the purchase transaction, will not be computed, unless an effective provision of services for such purposes is proven. . (Paragraph third and fourth replaced by the current third paragraph by Article 5 of Law No. 25.784 , BO 22/10/2003 - Effective: From the day of its publication in BO)

 

SPECIAL DEDUCTIONS OF THE FIRST CATEGORY

 

Art. 85 - Of the benefits included in the first category, the maintenance costs of the property may also be deducted. To this end, taxpayers must opt -for urban real estate- for any of the following procedures:

 

a) Deduction of real expenses based on vouchers.

 

b) Deduction of the presumed expenses that result from applying the FIVE PERCENT coefficient (5%) on the gross rent of the property, percentage that involves the maintenance expenses for any concept (repairs, administration expenses, insurance premiums, etc.) .).

 

Once a procedure has been adopted, it must be applied to all the properties owned by the taxpayer and may not be varied for a term of FIVE (5) years, counted from the period, inclusive, in which the option was made.

 

The option referred to in this article may not be carried out by those persons who by their nature must carry books or have administrators who must account for their management. In such cases, the actual expenses based on vouchers must be deducted.

 

For rural properties, the deduction will be made, in all cases, by the procedure of actual expenses verified.

 

SPECIAL DEDUCTIONS OF THE SECOND CATEGORY

 

Art. 86 - The beneficiaries of royalties resident in the country may make the following deductions, as the case may be:

 

a) When the royalties originate in the definitive transfer of goods, whatever their nature, TWENTY-FIVE PERCENT (25%) of the sums received for such concept, up to the recovery of the capital invested, resulting to this end of application the provisions of articles 58 to 63, 65 and 75, depending on the nature of the property transferred.

 

b) When the royalties originate in the temporary transfer of goods that suffer wear or exhaustion, the deduction of the amount resulting from applying the provisions of articles 75, 83 or 84, depending on the nature of the goods, will be allowed.

 

The aforementioned deductions will be appropriate in the case of costs and expenses incurred in the country. In the case of costs and expenses incurred abroad, the only deduction for any concept (recovery or amortization of the cost, expenses for the collection of the benefit, maintenance, etc.) will be allowed for the FORTY PER CENT (40%) of the perceived royalties.

 

The preceding norms will not apply when dealing with beneficiaries resident in the country who usually carry out research, experimentation, etc. activities, aimed at obtaining goods that may produce royalties, who will determine the profit by applying the rules that govern the third category.

 

SPECIAL DEDUCTIONS OF THE THIRD CATEGORY

 

Art. 87 - The profits of the third category and the limitations of this law may also be deducted:

 

a) Expenses and other expenses inherent to the business.

 

b) The penalties and provisions against bad credits in justifiable amounts according to the uses and customs of the branch. The TAX GENERAL DIRECTORATE may establish rules regarding the manner of carrying out these punishments.

 

c) Organization expenses. The GENERAL TAX ADMINISTRATION will admit its affectation to the first year or its amortization in a period not exceeding FIVE (5) years, at the option of the taxpayer.

 

d) The sums that the insurance, capitalization and similar companies allocate to integrate the provisions for mathematical reserves and reserves for ongoing and similar risks, in accordance with the regulations imposed on the particular by the INSURANCE SUPERINTENDENCY or other official dependency.

 

In all cases, the provisions for technical reserves corresponding to the previous year, which had not been used to pay claims, will be considered as profit and must be included in the net taxable profit of the year.

 

e) The commissions and expenses incurred abroad indicated in Article 8, as soon as they are fair and reasonable.

 

f) ( Section removed by Law No. 25,063 , Title III, art. 4, subsection t). - Validity: As of 12/31/98 and will take effect for the fiscal year 1998.)

 

g) Expenses or contributions made in favor of the staff for health care, school and cultural aid, subsidies to sports clubs and, in general, any assistance expense in favor of employees, dependents or workers. We will also deduct bonuses, bonuses, etc., that are paid to the staff within the periods in which, according to the regulations, the sworn statement corresponding to the exercise must be presented.

 

The GENERAL TAX ADDRESS may challenge the part of the authorizations, bonuses, bonuses, etc., that exceeds what is usually paid for such services, taking into account the work developed by the beneficiary, importance of the company and other factors that may influence the amount of compensation.

 

h) Employer contributions made to private retirement insurance plans administered by entities subject to the control of the INSURANCE SUPERINTENDENCY and pension plans and funds of mutuals registered and authorized by the NATIONAL INSTITUTE OF COOPERATIVE ACTION AND MUTUAL, up to the sum of FIFTEEN CENTS OF WEIGHT ($ 0.15) per year for each employee in a dependency relationship included in the retirement insurance or retirement plans and pension funds.

 

The amount established in the previous paragraph will be updated annually by the GENERAL TAX ADMINISTRATION, applying the update index mentioned in article 89, referring to the month of December of 1987, according to what the table prepared by said Agency indicates for each month of closure. of the fiscal period in which it is appropriate to practice the deduction.

 

Included in this subsection are contributions to life insurance plans that include savings accounts managed by entities subject to the control of the National Insurance Superintendence and mutual funds that are set up for retirement purposes, under the terms of the second paragraph of subsection b of article 81 of this law. (Last paragraph incorporated by Article 57 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that the compose, see Article 86 of the Reference Law)

 

i) The expenses of representation actually performed and duly accredited, up to an amount equivalent to ONE WITH FIFTY (1.50%) of the total amount of the remunerations paid in the fiscal year to the personnel in relation of dependence.

 

(Subparagraph replaced by Law No. 25,239 , Title I, art. 1, subsection n). - Validity: As of 12/31/99 and will take effect for the exercises that begin as of said date.)

 

j) The amounts that are destined to the payment of fees to directors, trustees or members of supervisory councils and those agreed upon to the managing partners -with the limitations established in this subsection- by the taxpayers included in subsection a ) of Article 69.

 

The sums to be deducted as fees from directors and members of supervisory boards and from compensation to the managing partners for their performance as such may not exceed TWENTY FIVE PERCENT (25%) of the accounting profits for the year, or until the that results from computing TWELVE THOUSAND FIVE HUNDRED PESOS ($ 12,500) for each one of the recipients of said concepts, whichever is greater, provided that they are assigned within the period foreseen for the presentation of the annual sworn statement of the fiscal year by which pay. In the case of being assigned after said term, the amount that is computable in accordance with the provisions set forth above will be deductible in the year in which it is assigned.

 

The sums that exceed the indicated limit will have for the beneficiary the treatment of non-computable for the determination of the tax, as long as the tax balance of the company gives tax determined in the year for which the remuneration is paid.

 

(Third paragraph replaced by Law No. 25,063 , Title III, art.4, paragraph u). - Validity: As of 12/31/98 and will take effect for the fiscal year 1998.)

 

The reserves and provisions that this law admits to be deducted in the tax balance are subject to the tax in the year in which the risks they covered were canceled (reserve for dismissals, etc.).

 

DEDUCTIONS NOT ADMITTED

 

Art. 88 - They will not be deductible, without distinction of categories:

 

a) The personal and living expenses of the taxpayer and his family, except as provided in articles 22 and 23.

 

b) The interest on the capital invested by the owner or partner of the companies included in article 49, subsection b), such as the sums withdrawn on account of the earnings or as salary and any other concept that amounts to a withdrawal on account of utilities.

 

For the purposes of the tax balance, the sums that have been deducted for the concepts included in the previous paragraph must be added to the participation of the owner or partner to whom it corresponds.

 

c) The remuneration or salary of the spouse or relative of the taxpayer. When an effective rendering of services is proved, it will be admitted to deduct the remuneration paid in the part that does not exceed the remuneration that is usually paid to third parties for the provision of such services, not being able to exceed the one paid to the employee -not relative- of higher category, unless otherwise provided by the GENERAL TAX ADDRESS.

 

d) The tax of this law and any tax on vacant land and fields that are not exploited.

 

e) Remuneration or salaries paid to members of boards, councils or other bodies acting abroad, and fees and other remuneration paid for technical-financial or other advice provided from abroad, in amounts exceeding of the limits set by the regulation in this regard.

 

f) The sums invested in the acquisition of goods and improvements of a permanent nature and other expenses related to said operations, except for taxes imposed on the free transfer of goods. Such expenses will integrate the cost of the goods for the purposes of this law.

 

g) Profits for the year that are intended to increase capital or reserves of the company whose deduction is not expressly allowed in this law.

 

h) The amortization of key, brands and similar assets.

 

i) Donations not included in article 81, subsection c), food benefits, or any other act of generosity in money or in kind.

 

j) Losses generated by or linked to illicit operations, including the expenses related to the commission of the crime of bribery, including in the case of foreign public officials in international economic transactions. ( Subparagraph substituted by Article 58 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it See Article 86 of the Reference Law)

 

k) The benefits that companies must separate to constitute the legal reserve fund.

 

l) Depreciation and losses due to disuse referred to in subparagraph f) of article 82, corresponding to automobiles and their rental (including those derived from leasing contracts), to the extent that they exceed what should be deducted in relation to to automobiles whose cost of acquisition, import or value of place, if they are of own production or rented with purchase option, is greater than the sum of TWENTY THOUSAND PESOS ($ 20,000) -net of the value added tax-, at the moment of your purchase, dispatch to place, authorization or subscription of the respective contract as appropriate.

 

Nor shall expenditures on fuels, lubricants, patents, insurance, ordinary repairs and, in general, all maintenance and operation expenses of automobiles that are not exchange goods, in so far as they exceed the lump sum that, for each unit, annually fixes the General Tax Directorate.

 

The provisions of this subsection shall not apply to automobiles whose exploitation constitutes the main purpose of the taxable activity (rent, taxis, remises, commercial travelers and the like). (Subparagraph replaced by Law No. 24,885 , Chapter I, Article 1 .- Effective: as of 12/7/97.)

 

( Note : Law No. 24.917 , Article 1, extends the entry into force of the substitution of this subsection, which will apply as of January 1, 1998.)

 

m) Remuneration for the exploitation of trademarks and patents belonging to subjects abroad, in amounts that exceed the limits set by the regulation in this regard. (Subsection incorporated by Law N ° 25,063 , Title III, art.4, clause v). - Validity: As of 12/31/98.)

 

UPDATE INDEX

 

Art. 89 - The updates provided for in this law shall be carried out in accordance with the provisions of article 39 of law 24,073.

 

Notwithstanding the provisions of the preceding paragraph, the updates provided for in articles 58 to 62, 67, 75, 83 and 84, and in articles 4 and 5 added after Article 90, with respect to acquisitions or investments carried out in fiscal years beginning on or after January 1, 2018, will be carried out on the basis of percentage changes in the general consumer price index (CPI) provided by the National Institute of Statistics and Census, as tables prepared by the Federal Administration of Public Revenue for these purposes. (Expression "wholesale domestic price index (IPIM)" replaced by the expression "general consumer price index (CPI)", by article 1 of Law N ° 27.468 BO 4/12/2018. : the day of its publication in the Official Gazette and will take effect for fiscal years or fiscal years beginning on or after January 1, 2018, inclusive)

 

( Article replaced by Article 59 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

TITLE IV

 

TAX RATES FOR HUMAN PERSONS AND INDIVIDUAL SUCCESSIONS AND OTHER PROVISIONS

 

(Name of the Title substituted by Article 60 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities compose it See article 86 of the Reference Law)

 

CHAPTER I - PROGRESSIVE TAX.

 

(Title of the Chapter incorporated by Article 61 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles compose it See article 86 of the Reference Law)

 

Art. 90 - Human persons and undivided estates - as long as there is no declaration of heirs or a testament declared valid that fulfills the same purpose - will pay on the net profits subject to tax the sums that result according to the following scale: (Expression " of visible existence "replaced by" human ", by Article 79 of Law No. 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each one of the Titles that compose it, see Article 86 of the Reference Law)

 

Cumulative net taxable profit   They will pay $ More him %       About the Surplus of $

 

More than $       A $                                         

 

0              20,000   0              5              0

 

20,000   40,000   1,000     9              20,000

 

40,000   60,000   2,800     12           40,000

 

60,000   80,000   5.200     fifteen 60,000

 

80,000   120,000                 8.200     19           80,000

 

120,000                 160,000                 15,800   2. 3         120,000

 

160,000                 240,000                 25,000   27           160,000

 

240,000                 320,000                 46,600   31           240,000

 

320,000                 onwards               71,400   35           320,000

 

 

 

(First paragraph replaced by article 1, point 8 of Law N ° 27.346, BO 27/12/2016 Effective: as of its publication in the Official Gazette and will take effect as of fiscal year 2017, inclusive).

 

The amounts foreseen in this article will be adjusted annually, starting from fiscal year 2018, inclusive, by the coefficient that arises from the annual variation of the Average Taxable Compensation of Stable Workers (RIPTE), corresponding to the month of October of the year before of the adjustment with respect to the same month of the previous year. (Paragraph incorporated by virtue of the substitution provided by article 1, point 8, of Law N ° 27.346, BO 12/27/2016 Effective: as of its publication in the Official Gazette and will take effect as of fiscal year 2017 , inclusive).

 

When the determination of the net gain of the subjects referred to in the first paragraph of this article, includes results included in Title IX of this law, stemming from operations of transfer of shares, representative securities and certificates of deposit of shares and other Securities, quotas and social participations -including shares of mutual funds and certificates of participation of trusts and any other rights on trusts and similar contracts-, digital currencies, Securities, bonds and other securities, as well as for the transfer of real estate or transfers of property rights, these will be reached by the tax on the rate of fifteen percent (15%). (Paragraphs third to sixth replaced by article 62 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that compose it, see Article 86 of the Reference Law)

 

When the determination of net income corresponds to overtime hours obtained by workers in a dependency relationship, the amounts resulting from such concept, not including those indicated in paragraph z) of article 20, shall not be computed for the purpose of modifying the scale established in the first paragraph, so that such emoluments will be taxed by applying the corresponding marginal rate, prior to incorporating overtime. (Paragraph incorporated by Article 1 of Item 9 of Law No. 27,346 of BO 12/27/2016 Effective as of its publication in the Official Gazette and will take effect as of fiscal year 2017, inclusive).

 

The Federal Administration of Public Revenues will determine the liquidation modalities corresponding to that indicated in the preceding paragraph. (Paragraph incorporated by Article 1 of Item 9 of Law No. 27,346 of BO 12/27/2016 Effective as of its publication in the Official Gazette and will take effect as of fiscal year 2017, inclusive).

 

( Note : by article 84 of Law N ° 27.430 BO 29/12/2017 it is established that the provisions set forth in the fifth paragraph of article 90 of the Income Tax Law, text ordered in 1997 and its amendments, introduced by Article 4 of Law 26,893, will be applicable until the date of entry into force of this law, insofar as, in relation to the obligation referred to therein, the tax has been paid into If the tax has not been paid, it will also result from application, except in the case that, in the case of securities with an authorized quotation in stock exchanges and markets and / or that have authorization for a public offering, the intervening agents would not have done so. Retained or perceived due to the absence of regulatory regulations that obliged them to do so at the time of carrying out the operations Validity: the day following its publication in the Official Gazette and will take place effect in accordance with the provisions of each one of the Titles that compose it. See art. 86 of the Reference Law)

 

CHAPTER II - CEDULAR TAX

 

(Chapter incorporated by Article 63 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it See Article 86 of the Reference Law)

 

ARTICLE ...- Performance resulting from the placement of capital in securities. The net gain of Argentinean source of the human persons and of the undivided successions derived from results in concept of interests or the denomination that will have the yield product of the placement of capital in the respective cases of values referred to in the fourth article without number alleged following Article 90 - which is part of this Chapter -, or interest arising from term deposits made in institutions subject to the regime of financial entities of Law 21,526 and its amendments, will be achieved by the tax on the rate that is detailed below depending on the investment in question:

 

a) Bank deposits, government securities, negotiable obligations, mutual fund shares, Debt securities of financial trusts and similar contracts, bonds and other securities, in national currency without adjustment clause: five percent (5%).

 

The National Executive Power may increase the rate set forth in the preceding paragraph of this subsection, and may not exceed that provided in the following paragraph, provided that they have well-founded technical reports, based on economic variables, that justify this.

 

b) Bank deposits, government securities, negotiable obligations, mutual fund shares, Debt securities of financial trusts and similar contracts, bonds and other securities, in national currency with adjustment clause or in foreign currency: fifteen percent (15 %).

 

In the case of rescue operations of shares of mutual funds of the first paragraph of article 1 of Law 24,083, consisting of investments included in the first paragraph of this article in different currencies, the regulations may establish procedures that provide for the form of the application of the rates, in proportion to the respective underlying assets.

 

The provisions of this article shall also be applicable when the transferor subjects the condition of beneficiary from abroad, who does not reside in non-cooperative jurisdictions or the invested funds do not come from non-cooperating jurisdictions. In such cases, the gain, insofar as it is not, is exempt according to the provisions of the fourth paragraph of subsection w) of article 20, will be achieved by the provisions contained in article 93, at the rates established in the first paragraph of this article.

 

ARTICLE ... - Interest (or income) and discounts or issue premiums. For the purposes of determining the profit from interest-bearing or yielding securities, which are included in this Chapter II or in Title IX of this law, the following procedures must be applied:

 

a) If the value is subscribed or acquired at the nominal residual price, the accrued interest will be imputed to the fiscal year in which the payment is verified, the date of making available or its capitalization, whichever occurs first, provided that said value foresee interest payments in terms of up to one year. With respect to payment terms of more than one year, interest will be charged according to its accrual based on time. In case of transfer of the value, the subscription or acquisition price will be considered as its computable cost. If at the time of the alienation accrued interest existed from the date of payment of the last installment of interest (interest accrued) that had not been taxed at that time, those interests, at the option of the taxpayer, may be discriminated against from the sale price.

 

b) If a security is acquired, whether or not it is quoted on stock exchanges or markets, that it contains interest from the issue or from the date of payment of the last installment of interest, the taxpayer may choose between (i) considering the price of acquisition as computable cost of the acquired value, or (ii) discriminate from the acquisition price the interest accrued. To opt for the second alternative, to the extent that interest is paid, made available or capitalized, whichever occurs first, the interest subject to tax will be the difference between the amount made available or capitalized and the portion of the acquisition price attributable to the interest accrued at the acquisition date.

 

c) If you subscribe or acquire a value that has been issued under par, paying a net price of interest, less than the nominal residual, the discount will receive the treatment applicable to interest, and must be charged based on its accrual in each year fiscal, from the month of subscription or acquisition until the month in which the partial and / or total amortization occurs or until its sale, whichever occurs before. The regulation will establish the cases where this procedure is not applicable, as well as the allocation mechanism in case of partial amortizations. With respect to the interests that the value accrues, the provisions of paragraph a) above apply. For the purpose of determining the result by sale, the discount that would have been taxed each year between the date of subscription or acquisition and the sale date will be added to the price of subscription or acquisition.

 

d) If a value is subscribed or acquired by paying a net price of interest, higher than the residual nominal value, for the purpose of determining the taxable portion of the interest paid, made available or capitalized, the taxpayer may choose to deduct that difference in accrual in each fiscal year, from the month of subscription or acquisition until the month in which the partial and / or total amortization occurs or until its disposal, whichever occurs previously.

 

The regulation will establish the allocation mechanism in case of partial amortizations. With respect to the interests that the value accrues, the provisions of paragraph a) above apply. For the purposes of determining the result by sale, at the cost of subscription or acquisition will be subtracted, where appropriate, the cost referred to in the first part of this subsection d) that would have been deducted each year between the date of subscription or acquisition and alienation.

 

The options referred to in subparagraphs b), c) and d) above shall be exercised over the totality of the respective investments and shall be maintained for five (5) years.

 

The imputation according to its accrual based on the time referred to in subparagraph a) of the first paragraph of this article, as well as the accrual on a proportional basis mentioned in paragraphs c) and d), imply that, in the case of securities In foreign currency, the conversion to pesos of the respective items will be made at the buyer's exchange rate in accordance with the latest price of the Argentine National Bank as of December 31 of each year. In the case of securities with an adjustment clause, such concepts will be calculated on the value of the capital restated as of that date.

 

ARTICLE ... - Dividends and similar profits. The net profit of the human persons and undivided successions, derived from the dividends and profits referred to in article 46 and the first article added after the latter, shall be taxed at the rate of thirteen percent (13%), not resulting of application for the subjects that pay the incomes referred to in the second paragraph of article 69.

 

The tax referred to in the preceding paragraph must be retained by the paying entities of the aforementioned dividends and profits. Said retention shall have the character of a single and definitive payment for human persons and undivided estates resident in the Argentine Republic that are not registered in this tax.

 

In the case of common investment funds included in the first paragraph of article 1 of Law 24,083 and its amendments, the regulations may establish retention regimes of the rate referred to in the first paragraph, on dividends and profits therein. mentioned, that they distribute to their investors in case of redemption and / or payment or distribution of profits.

 

When the dividends and profits referred to in the first paragraph of this article are paid to foreign beneficiaries, it will be the responsibility of the payer to make the pertinent withholding and enter this percentage in the Federal Public Revenue Administration, as a single and definitive payment. .

 

ARTICLE ... - Transactions for the transfer of shares, representative securities and certificates of deposit of shares and other securities, quotas and shareholdings - including shares of mutual funds and certificates of participation in financial trusts and any other right over trusts and contracts similar-, digital currencies, Securities, bonds and other securities. The net gain of Argentinean source of the human persons and undivided successions derived from results from operations of transfer of shares, representative securities and certificates of deposit of shares, quotas and social participations -including shares of mutual funds and certificates of participation of financial trusts and any other rights on trusts and similar contracts-, digital currencies, Securities, bonds and other values, will be reached by the tax to the aliquot that is detailed below depending on the value in question:

 

a) Government securities, negotiable obligations, debt securities, shares of mutual funds not included in subsection c) below, as well as any other type of security or bond and other securities, in all cases in national currency without a clause of adjustment: five percent (5%).

 

The national Executive Power may increase the rate set forth in the preceding paragraph, and may not exceed the amount provided for in the following section, provided that well-founded technical reports, based on economic variables, justify this.

 

b) Government securities, negotiable obligations, debt securities, mutual fund shares not included in subsection c) below, digital currencies, as well as any other kind of security or bond and other securities, in all cases in national currency with adjustment clause or in foreign currency: fifteen percent (15%).

 

c) Shares, representative securities and certificates of deposits of shares and other securities, certificates of participation of financial trusts and any other right over trusts and similar contracts and condominium shares of mutual funds referred to in the second paragraph of article 1 ° of Law 24,083 and its amendments, which (i) are listed on stock exchanges or markets authorized by the National Securities Commission that do not meet the requirements referred to in subsection w) of article 20 of this law, or that ( ii) they are not quoted in the referred stock exchanges or markets: fifteen percent (15%).

 

In the case of shares of mutual funds included in the first paragraph of article 1 of Law 24,083 and / or certificates of participation of financial trusts, whose principal underlying asset is constituted by: (i) shares and / or representative securities or certificates of participation in shares and other securities, which meet the conditions referred to in subsection w) of article 20 of the law, as well as (ii) securities referred to in the fourth paragraph of this subsection, the gain from rescue derived from those will have the corresponding treatment to said underlying asset.

 

In the case of operations to rescue shares of mutual funds from the first paragraph of article 1 of Law 24,083 and / or certificates of participation of financial trusts, composed of securities included in the first paragraph of this article in different currencies, the regulation may establish procedures that provide for the form of application of the aliquots referred to in the subparagraphs of the first paragraph, proportional to the respective underlying assets, as well as the application of exemptions in cases where such principal assets are included in the fourth paragraph of subsection w) of article 20 of this law.

 

The gross profit for the alienation will be determined based on the following guidelines:

 

(i) In the cases of the securities included in subparagraphs a) and b) of the first paragraph of this article, deducting the cost of acquisition from the transfer price. If these are securities in national currency with an adjustment clause or in a foreign currency, the updates and exchange differences will not be considered as part of the gross profit.

 

(ii) In the case of the securities included in paragraph c) of the first paragraph of this article, deducting from the transfer price the updated acquisition cost, by applying the index mentioned in the second paragraph of article 89, from the date of acquisition until the date of transfer. In the case of liberated shares, the cost referred to in the fourth paragraph of article 46 shall be taken as the acquisition cost. For these purposes, it shall be considered, without admitting proof to the contrary, that the securities sold correspond to the oldest acquisitions of the same kind and quality. .

 

The provisions of this article will also be applicable when the transferor subjects the status of beneficiary from abroad, who does not reside in non-cooperating jurisdictions or the invested funds do not come from non-cooperating jurisdictions. In this case, the gain -including the one referred to in the article added without number after article 13 of this law- will be reached by the provisions contained in subparagraph h) and in the second paragraph of article 93, at the rate of which is established in the first paragraph of this article.

 

In the cases, including the case included in the article added without number following article 13 of this law, in which the acquiring party is not resident in the country, the tax must be paid by the beneficiary from abroad through his representative Legal domiciled in the country. For such purposes, the aliquot in question, established in the first paragraph of this article, shall apply to the profit determined in accordance with the provisions of this law.

 

( Note : See Table established by Article 2 of Decree No. 279/2018 BO 9/4/2018 in relation to the items provided for in the fourth article incorporated without number following Article 90 of the Tax Law Earnings, text ordered in 1997 and its modifications Effective: the day following its publication in the Official Gazette)

 

ARTICLE ...- Alienation and transfer of rights over real estate. The profit of the human persons and of the undivided successions derived from the alienation of or of the transfer of rights over, real estate located in the Argentine Republic, will be taxed at the rate of fifteen percent (15%).

 

The gross profit will be determined based on the following guidelines:

 

a) Deducting from the sale or transfer price the cost of acquisition, updated by applying the index mentioned in the second paragraph of article 89, from the date of acquisition until the date of transfer or transfer. In the event that the property has been affected to obtain results achieved by the tax, the amount obtained in accordance with the above, will be subtracted the amount of the amortizations admitted that would have been computed in due course and those resulting up to quarter immediately prior to the one in which it is disposed of.

 

b) In the case of forward transactions, the profit generated as a result of the deferral and / or financing will have the respective treatment in accordance with the applicable provisions of this law.

 

Expenses (commissions, fees, taxes, fees, etc.) directly or indirectly related to the operations referred to in this article may be computed.

 

ARTICLE ...- Special Deduction. When human persons and undivided estates residing in the country, obtain the profits referred to in the first article added without number after article 90 and subsections a) and b) of the first paragraph of the fourth article added without number following the artículo 90, en tanto se trate de ganancias de fuente argentina, podrá efectuarse una deducción especial por un monto equivalente a la suma a la que alude el inciso a) del artículo 23, por período fiscal y que se proporcionará de acuerdo a la renta atribuible a cada uno de esos conceptos.

 

The computation of the amount referred to in the preceding paragraph may not give rise to a default and neither may be considered in subsequent fiscal periods, if any, the unused remnant.

 

In addition to the provisions of the first paragraph of this article, only the acquisition costs and expenses directly or indirectly related to them may be computed against the profits mentioned in this Chapter, and the concepts set forth in Articles 22, 23 and 81 can not be deducted. of the law and all those that do not correspond to a certain category of earnings.

 

ARTICLE ...- For the purposes of the determination of the profits referred to in this Chapter II, in everything that is not specifically regulated by it, the provisions of Titles I and II of the law shall apply additionally.

 

TITLE V

 

BENEFICIARIES FROM THE OUTSIDE

 

Art. 91 - When net benefits of any category are paid to companies, companies or any other beneficiary from abroad, with the exception of dividends, the profits of the subjects referred to in sections 2, 3, 6 and 7 of subsection a) of article 69 and the profits of the establishments included in subsection b) of said article- it corresponds that the payer retains and enters the Federal Administration of Public Revenues, an autarkic entity within the scope of the Ministry of Economy and Works and Services Public, with character of single and definitive payment, thirty-five percent (35%) of such benefits. (Paragraph replaced by Law No. 25,063 , Title III, Article 4, subsection y). - Validity: As of 12/31/98.)

 

It is considered that there is payment when some of the situations foreseen in the last paragraph of article 18 occur, except in the case of participation in the profits of companies included in subparagraph b) of article 49, in which case it will be applicable. provided in Article 50.

 

In these cases, the withholding tax shall be applied at the due date for the presentation of the tax balance, applying the rate of THIRTY-FIVE PERCENT (35%) on the total of the profits that, in accordance with what is established in article 50, they must be considered distributed to the partners that have the character of beneficiaries from abroad. If, between the closing date of the exercise and the aforementioned date, the payment had been set-totally or partially-in the terms of article 18, the withholding indicated shall be made on the date of payment. (Rate replaced by Law N ° 25,063 , Title III, art.4, paragraph x). - Validity: As of 12/31/98.)

 

Foreign beneficiaries will be considered those who receive their earnings abroad directly or through agents, agents, representatives or any other agent in the country and who, perceiving them in the country, will not accredit stable residence in the country. In cases where it is impossible to retain, the indicated income will be in charge of the paying entity, without prejudice to their rights to demand the reimbursement of part of the beneficiaries.

 

Art. 92 - Except in the case considered in the third paragraph of article 91, the withholding provided for therein shall be established by applying the rate of THIRTY-FIVE PERCENT (35%) on the net gain presumed by this law for the type of profit in question. (Rate replaced by Law N ° 25,063 , Title III, art.4, paragraph x). - Validity: As of 12/31/98.)

 

Art. 93 - When sums are paid to external beneficiaries for the concepts indicated below, a net gain will be presumed, without admitting proof to the contrary:

 

a) In the case of contracts that duly fulfill the requirements of the Technology Transfer Act at the time of payment:

 

1. SIXTY PERCENT (60%) of the amounts paid for benefits derived from technical assistance, engineering or consulting services that were not available in the country in the opinion of the competent authority in matters of technology transfer, provided that they were duly registered and had been effectively rendered.

 

2. EIGHTY PERCENT (80%) of the amounts paid for benefits derived from the assignment of rights or licenses for the exploitation of invention patents and other objects not contemplated in point 1 of this subsection.

 

3 . (Point eliminated by Law No. 25,063 , Title III, art.4, paragraph z). - Validity: As of 12/31/98.)

 

In the event that under the same contract payments are made to which correspond different percentages, in accordance with points 1 and 2 above, the percentage that is greater will apply.

 

b) THIRTY AND FIVE PERCENT (35%) of the amounts paid in the case of exploitation in the country of copyright, provided that the respective works are duly registered in the NATIONAL DIRECTORATE OF COPYRIGHT and that the benefits originate in the cases provided for in subsection j) of article 20 and the requirements set forth therein are fulfilled; equal presumption shall apply in the case of sums paid to artists residing abroad contracted by the National, Provincial or Municipal State, or by the institutions included in subparagraphs e), f) and g) of said article 20 to act in the country for a period of up to TWO (2) months in the fiscal year.

 

c) In the case of interest or remuneration paid for credits, loans or placements of funds of any origin or nature, obtained abroad:

 

1. Forty-three percent (43%) when the borrower of the loan, loan or funds is an entity governed by Law 21,526 or it deals with financing operations for the amortization of movable assets -except automobiles- granted by Providers.

 

The presumption established in this section shall also apply when the policyholder is one of the remaining subjects included in article 49 of this law, a human person or an undivided estate, in these cases provided that the creditor is a bank or financial entity filed in jurisdictions not considered as null or low taxation in accordance with the rules of this law and its regulation or are jurisdictions that have signed with the Republic of Argentina agreements for exchange of information and also that by application of its internal rules can not alleging banking, stock market or other secret, before the request of information of the respective treasury. The financial entities included in this paragraph are those under the supervision of the respective central bank or equivalent body. (Expression "natural person" replaced by "human person", by article 79 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

The same treatment will be applied when the interests or rewards correspond to debt bonds presented in countries with which there is an agreement of reciprocity for investment protection, provided that their registration in the Argentine Republic in accordance with the provisions of Law 23,576 and its amendments, is perform within two (2) years after its issuance.

 

2. One hundred percent (100%) when the borrower of the credit, loan or funds is a subject included in article 49 of this law, excluding the entities governed by Law 21,526 and its amendments, a human person or a succession undivided and the creditor does not meet the condition and requirement indicated in the second paragraph of the previous section. (Expression "natural person" replaced by "human person", by article 79 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

(Subparagraph substituted by Article 6 of Law N ° 25.784 , BO 22/10/2003 - Effective: From the day of its publication in BO)

 

... Forty-three percent (43%) of the interest originated in the following deposits, made in the entities governed by law 21,526:

 

1. Savings box.

 

2. Special savings accounts.

 

3. Fixed term.

 

4. The deposits of third parties or other forms of fundraising of the public as determined by the Central Bank of the Argentine Republic by virtue of what is established in the respective legislation.

 

(Subsection included after subsection c) by Law No. 25,063 , Chapter III, art.4, subsection z) b '). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, the fiscal year in course to that date.)

 

d) SEVENTY PERCENT (70%) of the sums paid for salaries, fees and other remuneration to persons who act temporarily in the country, such as intellectuals, technicians, professionals, artists not included in subsection b), athletes and other activities personal, when to fulfill their duties do not remain in the country for a period exceeding SIX (6) months in the fiscal year.

 

e) FORTY PER CENT (40%) of the sums paid for the lease of personal property made by locators residing abroad.

 

f) SIXTY PERCENT (60%) of the sums paid as rents or leases of real estate located in the country.

 

g) FIFTY PER CENT (50%) of the amounts paid for the transfer for consideration of assets located, placed or economically used in the country, belonging to companies or companies incorporated, located or located abroad.

 

h) NINETY PERCENT (90%) of the amounts paid for profits not provided for in the preceding paragraphs.

 

Notwithstanding the provisions of subparagraphs f) and g), the beneficiaries of these concepts may opt, for the determination of the net profit subject to withholding, between the presumption provided in said clauses or the amount resulting from deduction of the gross profit paid. or accredited, the expenses incurred in the country necessary for its collection, maintenance and conservation, as well as the deductions that this law allows, according to the type of profit in question and that have been expressly recognized by the GENERAL ADMINISTRATIVE DIRECTORATE.

 

The provisions of this article shall not apply in the case of gains in respect of which this law expressly provides for a different form of determination of the alleged gain.

 

TITLE VI

 

INFLATION ADJUSTMENT

 

Art. 94 - Without prejudice to the application of the remaining provisions that are not modified by this Title, the subjects referred to in subparagraphs a) to e) of article 49, for the purpose of determining the net taxable profit, shall deduct or incorporate the tax result of the fiscal year that is settled, the adjustment for inflation obtained by the application of the rules of the following articles.

 

( Article replaced by Article 64 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. 95 - In order to practice the adjustment for inflation referred to in the previous article, the following procedure must be followed:

 

a) To the total of the assets according to the commercial balance or, where appropriate, tax, will be detracted the amounts corresponding to all the concepts indicated in the points that are detailed below:

 

1. Real estate and works in progress on real estate, except those that have the character of exchange assets.

 

2. Investments in materials for the works included in the previous point.

 

3. Depreciable movable assets -even depreciable players- for the purposes of this law.

 

4. Personal property in the process of production for fixed assets.

 

5. Intangible assets.

 

6. In forestry, stocks of cut or standing timber.

 

7. Shares, quotas and social participations, including quotas, shares of mutual funds.

 

8. Investments abroad -including financial placements- that do not originate results from Argentina or that are not affected by activities that generate results from Argentina.

 

9. Non-amortizable personal property, except securities and exchange assets.

 

10. Credits representing signs or advances that freeze prices, made prior to the acquisition of the goods included in points 1 to 9.

 

11. Contributions and advances made on account of future capital integrations, when there are commitments of duly documented or irrevocable contributions for the subscription of shares, with the exception of those that accrue interest or updates under conditions similar to those that could be agreed between independent parties, having account for normal market practices.

 

12. Balances pending integration of the shareholders.

 

13. Debtor balances of the owner, owner or partners, arising from pending integrations or transactions carried out under conditions different from those that could be agreed between independent parties, taking into account normal market practices.

 

14. In local companies with foreign capital, the debit balances of a person or group of persons from abroad that participate, directly or indirectly, in their capital, control or direction, when such balances originate in legal acts that can not be considered as concluded. between independent parties, because their benefits and conditions do not conform to normal market practices between independent entities.

 

15. Expenses of incorporation, organization and / or reorganization of the company and the expenses of development, study or investigation, insofar as they were deducted tax.

 

16. Advances, withholdings and payments on account of taxes and expenses, not deductible for the purposes of this tax, which are recorded in the asset.

 

When during the course of the fiscal year that it was liquidated, assets from those included in items 1 to 7 had been sold, the value that they would have had at the beginning of the fiscal year that is settled will not be part of the amounts to be deducted. The same treatment will correspond if said goods had been delivered by any of the concepts referred to in points 1 to 4 of the first paragraph of subsection d).

 

In the cases in which exchange assets were affected as fixed assets, the tax value assigned to such exchange assets at the beginning of the year will be part of the concepts to be deducted from the asset.

 

b) The amount obtained by application of subsection a) will subtract the liability.

 

I. For these purposes, the following shall be understood as liabilities:

 

1. The debts (the provisions and provisions to be consigned, will be those admitted by this law, which will be computed by the amounts that it authorizes).

 

2. Earnings received in advance and those that represent benefits to be received in future periods.

 

3. The amounts of the fees and gratuities that, according to what is established in article 87, have been deducted in the year for which they will be paid.

 

II. For the same purposes, liabilities will not be considered:

 

1. Contributions or advances received on account of future capital integrations when there are commitments of contributions duly documented or irrevocable subscription of shares, which in no case accrue interest or updates in favor of the contributor.

 

2. The credit balances of the owner, owner or partners, arising from operations of any origin or nature, carried out in conditions different from those that could be agreed between independent parties, taking into account normal market practices.

 

3. In local companies with foreign capital, the balances payable by a person or group of persons from abroad that participate, directly or indirectly, in their capital, control or direction, when such balances originate in legal acts that can not be considered as concluded. between independent parties, because their benefits and conditions do not conform to normal market practices between independent entities.

 

c) The amount obtained by virtue of what is established in subparagraphs a) and b), will be updated through the application of the general consumer price index (CPI), provided by the NATIONAL INSTITUTE OF STATISTICS AND CENSUS, taking into account the variation operated therein between the month of the close of the previous year and the month of the closing of the fiscal year that is settled. The difference in value obtained as a consequence of the update will be considered: (Expression "wholesale price index, general level" replaced by the expression "general consumer price index (CPI)", by art. of Law N ° 27.468 BO 4/12/2018 Effective: the day of its publication in the Official Gazette and will take effect for fiscal years or fiscal years beginning on or after January 1, 2018, inclusive)

 

l. Negative adjustment: when the amount of the asset is greater than the amount of the liability, determined according to the general norms of the law and the special ones of this title.

 

2. Positive adjustment: when the amount of the asset is less than the amount of the liability, determined according to the general rules of the law and the special provisions of this title.

 

d) The adjustment that results from the application of subsection c) will be added or subtracted, as appropriate, the amounts indicated in the following paragraphs:

 

I. As a positive adjustment, the amount of the updates calculated by applying the general consumer price index (CPI), provided by the NATIONAL INSTITUTE OF STATISTICS AND CENSUS, taking into account the variation operated between the month of cash withdrawal, payment, acquisition, incorporation or relinquishment, as appropriate, until the end of the fiscal year that is settled, on the amounts of: (Expression "wholesale price index, general level" replaced by the expression "general consumer price index") (CPI) ", by article 1 of Law N ° 27.468 BO 4/12/2018 Effective date: the day of its publication in the Official Gazette and will take effect for fiscal years or fiscal years started from the 1st January 2018, inclusive)

 

1. Withdrawals of any origin or nature -including those attributable to the particular accounts- made during the year by the owner, owner or partners, or funds or goods disposed in favor of third parties, except in the case of sums that accrue interests or updates or amounts that have their origin in operations carried out under the same conditions that could be agreed between independent parties, in accordance with normal market practices.

 

2. Dividends distributed, except in released shares, during the year.

 

3. Those corresponding to effective capital reductions made during the year.

 

4. The portion of the fees paid in the year that exceeds the limits established in article 87.

 

5. The acquisitions or additions made during the fiscal year that is settled, of the assets included in points l0 of subparagraph a) affected or not to activities that generate results of Argentine source, as long as they remain in the equity at the end of the same. The same treatment will be provided when the company acquires its own shares.

 

6. The funds or goods not included in points 1 to 7, 9 and 10 of subsection a), when they are converted into investments referred to in point 8 of said subsection, or are destined thereto.

 

II.As a negative adjustment, the amount of the updates calculated by application of the general consumer price index (CPI), provided by the NATIONAL INSTITUTE OF STATISTICS AND CENSUS, taking into account the variation operated between the month of contribution, disposal or affectation, as applicable, and the month of the close of the fiscal year that is settled, on the amounts of: (Expression "wholesale price index, general level" replaced by the expression "general consumer price index (CPI)", by Article 1 of Law N ° 27.468 BO December 4, 2013. Effective date: the day of its publication in the Official Gazette and will take effect for fiscal years or fiscal years beginning on or after January 1, 2018, inclusive. )

 

1. Contributions of any origin or nature -including those attributable to private accounts- and capital increases made during the fiscal year that is settled.

 

2. Investments abroad, mentioned in point 8 of subparagraph a), when they are affected by activities that generate results from Argentina, except in the case of goods of the nature of those included in points 1 to 7 , 9 and 10 of subsection a).

 

3. The computable tax cost in the cases of alienation of the goods mentioned in point 9 of paragraph a), or when they are delivered by any of the concepts referred to in points 1 to 5 of the previous paragraph.

 

e) The amount determined in accordance with the preceding paragraph will be the adjustment for inflation corresponding to the year and will affect as a positive adjustment, increasing the gain or decreasing the loss, or negative, decreasing the profit or increasing the loss, in the result of the fiscal year. in question.

 

The procedure provided in this article shall be applicable in the fiscal year in which a percentage of variation of the price index referred to in the second paragraph of article 89, accumulated in the thirty-six (36) months prior to the closing, is verified. of the fiscal year that is liquidated, greater than one hundred percent (100%). (Paragraph incorporated by Article 65 of Law No. 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See article 86 of the Reference Law)

 

The provisions of the preceding paragraph shall be in force for the periods beginning on or after January 1, 2018. With respect to the first, second and third fiscal years as of their validity, this procedure it will be applicable in case the variation of that index, calculated from the beginning and until the closing of each of those exercises, exceeds fifty-five percent (55%), thirty percent (30%) and in a fifteen percent (15%) for the first, second and third year of application, respectively. (Last paragraph replaced by Article 3 of Law N ° 27.468 BO December 4, 2013. Effective date: the day of its publication in the Official Gazette and will take effect for fiscal years or fiscal years beginning on or after 1 st January 2018, inclusive)

 

Art. 96 - The values and concepts to be computed for the purposes established in subparagraphs a) and b) of the previous article -except those corresponding to assets and debts excluded from assets and liabilities, respectively, which shall be considered to be the securities with which they appear in the commercial balance or, where appropriate, tax-will be determined at the close of the immediately preceding fiscal year to which it is settled, once adjusted by application of the general rules of the law and the special provisions of this Title.

 

The assets and liabilities listed below will be valued for all purposes of this law by applying the following rules:

 

a) Deposits, credits and debts in foreign currency and the inventories of the same: in accordance with the last quotation value - type of buyer or seller, as the case may be - of the BANCO DE LA NACION ARGENTINA at the closing date of the fiscal year, including the amount of interest that would have accrued as of that date.

 

b) Deposits, credits and debts in national currency: by their value at the closing date of each year, which will include the amount of interest and legal updates agreed or set by the court, which would have accrued as of that date .

 

c) Government Securities, bonds and other securities -excluding shares, securities and certificates of deposit of shares and other securities, quotas and shares, shares of mutual funds and certificates of participation of financial trusts and any other right over trusts and similar contracts - that are quoted in stock exchanges or markets: at the last quotation value at the closing date of the fiscal year. The digital currencies at the quoted price at the closing date of the fiscal year, as established in the regulations. (Paragraph replaced by Article 66 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Those that are not quoted will be valued for their increased cost, if applicable, with the amount of interest, updates and exchange differences that would have accrued as of the closing date of the year. The same valuation procedure will be applied to securities issued in foreign currency.

 

d) When the penultimate paragraph of subparagraph a) of the preceding article applies, said assets shall be valued at the value considered as computable tax cost at the time of disposal in accordance with the relevant regulations of this law.

 

e) Debts representing customer signals or advances that freeze prices at the date of receipt: they must include the amount of the updates of each of the amounts received calculated by applying the general consumer price index (CPI), supplied by the NATIONAL INSTITUTE OF STATISTICS AND CENSUS, taking into account the variation operated in it, between the month of entry of the aforementioned concepts and the month of the end of the year. (Expression "wholesale price index, general level" replaced by the expression "general consumer price index (CPI)", by article 1 of Law N ° 27.468 BO 4/12/2018. the day of its publication in the Official Gazette and will take effect for fiscal years or fiscal years beginning on or after January 1, 2018, inclusive)

 

To prepare the tax balance for the initial fiscal year, as well as the one that will be carried out on December 31 of each year, for those taxpayers who do not practice a commercial balance, the regulations established by the GENERAL TAX ADMINISTRATION will be taken into account.

 

Art. 97 - Those responsible who, in accordance with the provisions of this Title, must make the adjustment for inflation shall also be subject to the following provisions:

 

a) The exemptions established in subparagraphs h), k) and v) of Article 20 will not apply to them. (Subparagraph substituted by Law No. 25.402 , Art. 3, subsection d), BO 12/1/2001. - Validity: As of 12/1/2001 and will take effect for deposits made in entities governed by Law 21,526 as of January 1, 2001, inclusive.

 

b) They must allocate as gains or losses, as applicable, of the fiscal year that is settled, the amount of legal updates, agreed or judicially set, of credits, debts and Securities -excluding shares, securities and certificates of deposit of shares. and other securities, quotas and social participations, shares of mutual funds and certificates of participation of financial trusts and any other right over trusts and similar contracts, in the part corresponding to the period that is included between the start dates or the of origin or incorporation of the credits, debts or Securities, if they were later, and the closing date of the respective fiscal year. In the case of quoted securities, their respective price will be considered. They must also charge the amount of the updates of the debts referred to in paragraph e) of the previous article, in the part corresponding to the aforementioned period; (Subparagraph substituted by Article 67 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

c) They must attribute as a profit or, as the case may be, a loss, the difference in value resulting from comparing the quotation of the foreign currency at the end of the year with that corresponding to the closing of the previous year or to the date of acquisition, if later, relating to deposits, stocks, credits and debts in foreign currency.

 

d) When assets are transferred for which signs or advances have been received, under the conditions provided in subparagraph e) of the preceding article, for the purpose of determining the result of the operation, the amount of the agreed transfer shall be added to the agreed price. of the updates referred to in the aforementioned subsection, calculated until the closing month of the immediately preceding fiscal year to which the transfer date corresponds.

 

e) In the cases in which, according to the rules of this law or its regulatory decree, the option of allocating the result of sales operations in installments to the fiscal years in which the respective installments are due, will be exercised, and it would have corresponded to compute updates accrued in the year with respect to the balances of installments not due at the close, it may be chosen to defer the portion of the update that corresponds to the balance of deferred profits at the end of the year.

 

f) In forestry operations not included in the regime of Law No. 21,695, for the determination of the tax that may correspond to the alienation of the product of their plantations, the computable cost may be updated by applying the index provided in article 89, referred to the date of the respective investment, in accordance with what is indicated in the table prepared by the GENERAL TAX ADDRESS for the month corresponding to the date of the transfer.

 

In the case of plantations included in the regime of Decree No. 465 dated February 8, 1974, taxpayers may choose to apply the provisions of the preceding paragraph, in which case they may not compute as a cost the amount resulting from the appraisals refers to article 4 of said decree.

 

Art. 98 - The total or partial exemptions established or established in the future by special laws with respect to Securities, bills, bonds, obligations and other securities issued by the national, provincial or municipal State or the Autonomous City of Buenos Aires, they will have effect in this tax for the human persons and undivided successions resident in the country or for the taxpayers referred to in article 49 of this law.

 

( Article replaced by Article 68 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it See Article 86 of the Reference Law)

 

TITLE VII

 

OTHER PROVISIONS

 

Art. 99 - All provisions contained in national laws -general, special or statutory, except those of the income tax law-, decrees or any other rule of inferior hierarchy, by means of which the total or partial exemption is established, are hereby repealed . or the deduction, from the taxable matter of the income tax, of the amount received by the taxpayers included in subparagraphs a), b) and c) of article 79, as expenses for representation, per diem, mobility, special bonus, protocol , professional risk, technical coefficient, special or functional dedication, hierarchical or functional responsibility, uprooting and any other compensation of a similar nature, whatever the denomination assigned.

 

Art. 100 - Clarify that the different concepts under the denomination of social benefits and / or fuel vouchers, extension or authorization of use of purchase and / or credit cards, housing, leisure or rest trips, payment of education expenses of the family group or other similar concepts, whether granted by the employer or through third parties in favor of their dependents or employees, are met by the income tax, even though they do not have a remunerative nature for the purposes of the contributions and contributions to the National Integrated System of Retirement and Pensions or similar provincial or municipal regimes.

 

Excluding the provisions of the previous paragraph to the provision of work clothes or any other element linked to the clothing and equipment of the worker for exclusive use in the workplace and the granting or payment of training courses or specialization to the extent that they are essential for the performance and development of the career of the employee or employee within the company.

 

Art. 101 - In the case of private retirement insurance plans administered by entities subject to the control of the INSURANCE SUPERINTENDENCY, the amount resulting from the rescue by the beneficiary of the plan, whatever its cause, will not be subject to this tax. the extent to which the amount redeemed is applied to the hiring of a new plan with entities that act in the system, within FIFTEEN (15) business days following the date of receipt of the redemption.

 

Art. 102 - In the cases of benefits or redemptions referred to in clauses d) and e) of article 45 and subsection d) of article 79 of this same law, the net taxable benefit shall be established by difference between the benefits or redemptions received and the amounts that would not have been deducted for the purposes of the liquidation of this tax, updated, applying the index mentioned in article 89, referred to the month of December of the fiscal period in which the expenditure was made, according to the table prepared by the GENERAL TAX ADDRESS for the month of December of the fiscal period in which the aforementioned concepts are received.

 

In the case of payment of the benefit or redemption in the form of periodic income, a direct relationship shall be established between what is collected in each fiscal period with respect to the total to be received and this proportion shall be applied to the total of amounts that have not been deducted updated as indicated in the preceding paragraph; the difference between what is received in each period and the proportion of contributions that had not been deducted will be the net taxable profit of that period.

 

Art. 103 - This tax shall be governed by the provisions of Law No. 11,683 (in 1978 and its amendments), and its application, collection and inspection shall be the responsibility of the GENERAL TAX ADDRESS.

 

Article 104 - (Article repealed by Article 6 of the Law No. 27,432 BO 12/29/2017. Validity: from the day following its publication in the Official Gazette and will be applicable as of January 1, 2018 )

 

Art. 105 - The provisions of this law, which will be in force until December 31, 1997, will have the validity that in each case indicate the norms that comprise it.

 

( Note : by article 2 of the Law N ° 27.432 BO 29/12/2017 the validity of this norm is extended until December 31, 2022. Validity: from the day following its publication in the Official Gazette and will take effect from this date, inclusive. )

 

( Note : by art 3 ° of Law N ° 26,545 BO 2/12/2009, the validity of this Law is extended until December 31, 2019. Validity: from the date of its publication in the Official Gazette , and will take effect for fiscal years that close as of January 1, 2010, inclusive Previous extension: Law No. 26072 BO 10/1/2006)

 

TITLE VIII

 

TRANSITORY DISPOSITIONS

 

Art. 106 - The tax created by this law replaces the tax on revenues, the tax on the sale of transferable securities and the tax on eventual profits, in the latter case in the relevant part.

 

However, the rules of the substituted taxes will affect the determination of the revenues or profits obtained by them when by virtue of these their effects are subject to facts or circumstances that are configured after their validity but in accordance with their forecasts.

 

Likewise, the aforementioned regulations will affect the determination of the taxable matter reached by the tax created by this law, when they extend their effects to future periods, due to rights or obligations derived from facts or circumstances configured during their validity. In the same sense, the rights to reliefs or exemptions that have origin in facts or acts carried out up to December 31, 1973 will not be affected, in as much, in their case, they maintain their effect until the closing of the annual exercise initiated in said year.

 

For the purposes of the process of transition from the liens replaced to the new one, those who would have been responsible for said liens will be subject to all the obligations, even substantive, that are necessary to ensure the continuity of the replaced regime, provided that this will not injure the principle that no taxable matter common to substituted taxes and substitute, is reached by more than one of the encumbrances in question.

 

The EXECUTIVE POWER will dictate the necessary regulatory provisions to regulate the transition referred to in this article, on the basis of the aforementioned substitute nature and the other principles indicated for that purpose.

 

Art. 107 - When according to regimes that have as their object the sectoral or regional promotion, sanctioned before May 25, 1973, preferential treatments have been granted in relation to the taxes that are repealed, the EXECUTIVE OFFICER will dispose the scopes that such treatment will have regard to the tax created by this law, in order to ensure the rights acquired and, through them, the continuity of the programs approved prior to the enactment of this law.

 

Art. 108 - When the regimes referred to in the previous article have been sanctioned after May 25, 1973, the EXECUTIVE POWER must regulate the automatic application of such preferential treatment in relation to the tax of this law.

 

The treatment provided above will apply to the regime established by Law No. 19,640.

 

Art. 109 - When the compensation provided for in article 20, second-to-last paragraph, corresponds, the compensated negative interests and updates will not be deductible. If a negative balance arises from such compensation and the apportionment provided for in article 81, subsection a), the assets originating the interest and exempt assets updates shall be excluded for that purpose.

 

Art. 110 - For the purposes of the updating contemplated in article 25, the amount established in article 22 will be considered effective as of December 31, 1985.

 

Art. 111 - In the cases of transfer of shares quoted on stock exchanges or markets -except for liberated shares- acquired prior to the first year commenced as of October 11, 1985, it may be decided to consider the market price as the acquisition value. closing of the immediately previous exercise to the aforementioned, and as date of acquisition the latter.

 

Art. 112 - The subjects included in subparagraphs a), b) and c) of article 49, for the determination of the adjustment for inflation corresponding to the first year started after October 11, 1985, shall compute at the beginning of the fiscal year liquidates the concepts established in Title VI to the assigned values or that would have corresponded to be assigned at the close of the previous fiscal year, in accordance with the valuation rules used to determine the adjustment for inflation established by Law No. 21,894.

 

The provisions of the preceding paragraph shall not apply to the farm considered as a good exchange, whatever its nature, which shall be computed in accordance with the provisions of the third paragraph of point 9 of article 5 of Law No. 23,260, with the amendments introduced by article 1 of Law No. 23,525.

 

Art. 113 - In all cases and without exception, the deductible losses will be those originated in the oldest period, regardless of the regime that is applicable in accordance with the regulations in force prior to the amendment provided by Law No. 23,260, applicable on the occasion of this and the emerging ones of the following articles.

 

Article 114 - Losses accumulated in fiscal years closed prior to the effective date of this article may not be deducted in the TWO (2) first fiscal years that close as of the aforementioned date.

 

Art. 115 - The loss corresponding to the first fiscal year that closes from the effective date of this article, will not be deductible in the following year and the computation of the term of FIVE (5) years provided for in article 19, will start at be counted from the second closed year, inclusive, after the one in which the loss occurred.

 

Art. 116 - Losses mentioned in Article 114 that could not have been deducted as a result of the suspension provided by said rule or that are deferred due to the limitation of FIFTY PER CENT (50%) foreseen in the previous article, may be deducted , without limit in time, until its exhaustion. Said deduction shall be made provided that, had there been no suspension or limitation in the computation of the losses, they could have been absorbed within the terms provided in article 19, as appropriate.

 

Art. 117 - The subjects whose closing of the year had been operated until January 27, 1988, will calculate the unexpired advances corresponding to the following year, on the basis of the net income recorded in the previous period without deducting the accumulated losses, if the I would have

 

Art. 118 - The provisions of articles 114 and 115 will not be applicable to the losses arising from the disposals mentioned in the second to last paragraph of article 19.

 

Art. ... - The provisions of the second paragraph of subparagraph b) of article 69 and the third article added without number after article 90, shall be applicable to the extent that the profit of the subjects referred to subparagraphs a) and b) of article 69 would have been subject to the aliquots indicated therein - the aliquots of seven percent (7%) and thirty percent (30%), respectively, being applicable during the two fiscal periods counted from of the one that starts from January 1, 2018, whatever the fiscal period in which such dividends or profits are made available.

 

In the case of distributed profits that have been generated in fiscal periods in respect of which the paying entity was reached at the rate of thirty-five percent (35%), the income from the tax or withholding in respect of the dividends or utilities, as appropriate.

 

For the purposes indicated in the preceding paragraphs, it will be considered, without admitting proof to the contrary, that the dividends or profits made available correspond, first, to the gains or accumulated profits of greater, seniority.

 

(Article s / n incorporated after Article 118, replaced by Article 69 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

Art. ... - The adjustment for positive or negative inflation, as the case may be, referred to in title VI of this law, corresponding to the first, second and third fiscal years beginning on January 1, 2018, must calculate by virtue of verifying the cases foreseen in the two (2) last paragraphs of article 95, one third (1/3) in that fiscal period and the remaining two thirds (2/3) in equal parts, in the next two (2) immediate fiscal periods.

 

(Second article s / n continuation of article 118, incorporated by article 4 of Law N ° 27.468 BO 4/12/2018 Effective date: the day of its publication in the Official Gazette and will take effect for fiscal years or years prosecutors initiated as of January 1, 2018, inclusive)

 

TITLE IX

 

FOREIGN SOURCE GAINS OBTAINED

 

BY RESIDENTS IN THE COUNTRY

 

CHAPTER I

 

HOME

 

(Title IX incorporated by Law N ° 25,063 , Title III, article 4, subsection z) e '). Validity: As of the validity fixed for the pertinent purposes by Law N ° 24,073 . Notwithstanding this, the Executive Power has observed this validity through Decree No. 1,517 / 98.)

 

Residents

 

Art. 119 - For the purposes of the provisions of the second paragraph of article 1, residents of the country are considered:

 

a) Human persons of Argentine nationality, native or naturalized, except those who have lost the status of residents in accordance with the provisions of Article 120. (Expression "of visible existence" replaced by "human", by Article 79 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it See Article 86 of the Law reference)

 

b) Human persons of foreign nationality who have obtained their permanent residence in the country or who, without having obtained it, have remained there with temporary authorizations granted in accordance with the current provisions on migration, during a period of TWEL ( 12) months, in which temporary absences that comply with the terms and conditions established by the regulations in this regard, will not interrupt the continuity of permanence. (Expression "of visible existence" replaced by "human", by Article 79 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

Notwithstanding the provisions of the preceding paragraph, persons who have not obtained permanent residency in the country and whose stay in the country is due to causes that do not imply an intention of habitual residence, may accredit the reasons that motivated it within the deadline and conditions established by the regulations.

 

c) Undivided successions in which the deceased, on the date of death, had the status of resident in the country in accordance with the provisions of the preceding paragraphs.

 

d) The subjects included in subparagraph a) of article 69.

 

e) Companies and companies or sole proprietorships, incorporated or located in the country, included in subparagraph b) and in the last paragraph of article 49, for the sole purpose of allocating their tax results to the owners or partners that have the condition of residents in the country, in accordance with the provisions of the preceding paragraphs.

 

f) The trusts governed by Law No. 24,441 and the Common Investment Funds included in the second paragraph of article 1 of Law No. 24,083 and its amendment, for purposes of compliance with the obligations imposed on the trustee and the management companies, respectively. in its capacity as administrators of foreign assets and, in the case of non-financial trusts governed by the first of the aforementioned laws, for the purposes of the attribution to the beneficiary trustor, of results and income tax, when applicable.

 

In the cases included in paragraph b) of the previous paragraph, the acquisition of the resident status shall take effect from the beginning of the month immediately following that in which the permanent residence in the country or in which the would have fulfilled the established term so that the acquisition of the condition of resident is configured.

 

The stable establishments included in subparagraph b) of the first paragraph of article 69 have the status of residents for the purposes of this law and, as such, are subject to the rules of this Title for their earnings from a foreign source.

 

(Article replaced by Law N ° 25.239 , Title I, art.1 °, paragraph p). - Validity: As of 12/31/99 and will take effect for the exercises that begin as of said date.)

 

Loss of resident status

 

Art. 120 - Human persons who qualify as residents of the country will lose it when they become permanent residents in a foreign State, according to the provisions that govern the same in terms of migration or when, having not acquisition in advance, remain continuously abroad for a period of twelve (12) months, in which case the temporary presences in the country that comply with the terms and conditions established by the regulations in this regard will not interrupt the continuity of the the permanence. (Expression "of visible existence" replaced by "human", by Article 79 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

In the case of continued permanence abroad referred to in the previous paragraph, people who are absent from the country for reasons that do not imply the intention to remain abroad as usual, may prove this circumstance in the term, form and conditions established by the regulations.

 

The loss of the resident status shall take effect from the first day of the month immediately following that in which the permanent residence in a foreign State was acquired or the period that determines the loss of the resident status in the country, as appropriate.

 

Art. 121 - Notwithstanding the provisions of the foregoing article, human beings residing in the country acting abroad as official representatives of the national State or in compliance with functions shall not lose the status of residents for continued permanence abroad. entrusted by the same or by the provinces, municipalities or the Autonomous City of Buenos Aires. (Expression "of visible existence" replaced by "human", by Article 79 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

Art. 122 - When the loss of the resident status occurs before the persons are absent from the country, they must accredit before the Federal Administration of Public Revenues, an autarchic entity within the scope of the Ministry of Economy and Public Works and Services, the acquisition of the status of resident in a foreign country and the fulfillment of the obligations corresponding to the Argentine and foreign source earnings obtained in the fraction of the fiscal period elapsed since its beginning and the end of the month following that in which acquired the residence abroad, as well as for the earnings of those sources attributable to the fiscal periods not prescribed by the aforementioned agency.

 

On the other hand, if the loss of the resident status occurs after the persons are absent from the country, the accreditation concerning that loss and the causes that determined it, as well as the compliance with the obligations referred to in the paragraph previous, considering in this case the fraction of the fiscal period elapsed from its beginning until the end of the month following that in which the loss of that condition occurred, must be made to the Argentine consulate of the country in which said persons are at This loss occurs, an accreditation that must be communicated by the aforementioned consulate to the Federal Administration of Public Revenues, an autarchic entity within the scope of the Ministry of Economy and Public Works and Services.

 

The fulfillment of the obligations established in the preceding paragraphs, will not release the persons included in them from their responsibility for the tax differences that could be determined for periods prior to that in which the loss of the status of resident or for the fraction of the fiscal year elapsed until said effect operates.

 

Art. 123 - The human persons who would have lost the condition of resident, will cover from the day in which that loss has effect, the character of beneficiaries abroad with respect to the Argentine source earnings obtained from that day inclusive, being subject to the provisions of Title V, for which purpose they must communicate this change of residence or, as the case may be, the loss of resident status in the country, to the corresponding withholding agents. (Expression "of visible existence" replaced by "human", by Article 79 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

The withholdings that may have been omitted prior to the notification of the change of residence, should be made when making future payments and if this is not possible, this circumstance must be reported to the Federal Administration of Public Revenues, an autarchic entity within the scope of the Ministry of Economy and Public Works and Services.

 

Art. 124 - The Federal Administration of Public Revenues, an autarchic entity within the scope of the Ministry of Economy and Public Works and Services, will determine the form, term and conditions under which the accreditations provided in article 122 must be carried out and, where appropriate, the communications referred to in its second paragraph.

 

Likewise, with respect to what is established in article 123, it will determine the form, term and conditions in which the communications of change of residence must be made to the withholding agents and, when appropriate, the one concerning the impossibility of carrying out withholdings omitted as an opportunity. of future payments.

 

Double residence

 

Art. 125 - In cases in which human persons, who having obtained permanent residency in a foreign State or having lost the status of residents in the Argentine Republic were considered residents of another country for tax purposes, continue to reside in fact in the national territory or re-enter it in order to remain in it, it will be considered that such persons are residents in the country: (Expression "of visible existence" replaced by "human", by Article 79 of Law N ° 27.430 BO 29 / 12 / 2017. Validity: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that comprise it, see Article 86 of the Reference Law)

 

a) When they maintain their permanent home in the Argentine Republic;

 

b) In the event that they maintain permanent housing in the country and in the State that granted them permanent residence or that considers them residents for tax purposes, if their center of vital interests is located in the national territory;

 

c) If the location of the center of vital interests can not be determined, if they habitually inhabit the Argentine Republic, a condition that will be considered fulfilled if they stayed in it for longer than in the foreign State that granted them permanent residence or that considers residents for tax purposes, during the period set by the regulation for that purpose;

 

d) If during the period referred to in subparagraph c), they remain the same time in the country and in the foreign State that granted them residence or considers them residents for tax purposes, when they are of Argentine nationality.

 

When by application of the provisions of the previous paragraph, a human person must be considered resident in the country, the treatment established in the second paragraph of article 1 will be dispensed with from the moment the loss of that condition has taken effect or, in his case, from the first day of the month immediately following his re-entry into the country. (Expression "of visible existence" replaced by "human", by Article 79 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

If the person to whom the aforementioned treatment was granted, would have been subject as of the initial date included in the same, of the withholdings provided for in title V, such withholdings may be computed as payment on account in the proportion not exceed the tax attributable to the Argentine source earnings that originated them, determined in accordance with the regime applicable to residents in the country. The part of the deductions that are not computable, can not be imputed to the tax originated by other gains nor can be transferred to subsequent periods or be subject to compensation with other liens, transfer to third parties or return.

 

When the persons to whom the condition of resident in the country is attributed in accordance with the provisions of this article, maintain their condition of residents in a foreign State and changes in their situation are made that indicate that they have permanently transferred their residence to that State, they must prove this circumstance and its consequence before the Federal Administration of Public Revenues, an autarchic entity within the scope of the Ministry of Economy and Public Works and Services.

 

Non-residents who are present in the country permanently

 

Art. 126 - They do not have the status of residents in the country:

 

a) The members of diplomatic and consular missions of foreign countries in the ARGENTINE REPUBLIC and their technical and administrative personnel of foreign nationality who at the time of their hiring did not have the status of residents in the country in accordance with the provisions of subsection b) of article 119, as well as relatives who do not have that condition that accompany them.

 

b) The representatives and agents that act in International Organizations of which the Nation is a part and develop their activities in the country, when they are of foreign nationality and should not be considered residents in the country as established in paragraph b) of article 119 at the beginning of these activities, as well as the relatives who do not have the status of residents in the country that accompany them.

 

c) Human persons of foreign nationality whose presence in the country is determined by duly accredited labor reasons that require their stay in the ARGENTINE REPUBLIC for a period not exceeding FIVE (5) years, as well as family members who do not they have the status of residents in the country that accompany them. (Expression "of visible existence" replaced by "human", by Article 79 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

d) Human persons of foreign nationality, who enter the country with temporary authorizations granted in accordance with the regulations in force regarding migration, with the purpose of studying in the country secondary, tertiary, university or postgraduate studies, in official establishments or officially recognized, or that of carrying out research work receiving as only compensation scholarships or similar assignments, as long as they maintain the temporary authorization granted for such purposes. (Expression "of visible existence" replaced by "human", by Article 79 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

Notwithstanding the provisions of this article, with respect to its Argentine source of income, the subjects included in the preceding paragraph shall be governed by the provisions of this law and its regulations that are applicable to residents of the country.

 

(Article replaced by Law N ° 25.239 , Title I, art.1 °, paragraph q). - Validity: As of 12/31/99 and will take effect for the exercises that begin as of said date.)

 

Chapter II

 

General disposition

 

Source

 

Art. 127 - Foreign source earnings are those included in article 2, which come from goods located, placed or used economically abroad, from the realization abroad of any act or activity likely to produce a benefit or events that occurred outside the territory national, except those expressly defined as from Argentina and those originated by the sale abroad of goods exported in a definitive manner from the country to be alienated abroad, which constitute profits from the last mentioned source.

 

Art. 128 - The profits attributable to permanent establishments installed abroad by owners residing in the country constitute, for the latter, foreign source earnings, except when they, according to the provisions of this law, must be considered as Argentine source, in whose case the permanent establishments that obtain them will continue to have the character of beneficiaries from abroad and subject to the treatment that this legal text establishes for them.

 

The establishments included in the previous paragraph are those organized in the form of a stable company for the development of commercial, industrial, agricultural, extractive or any other type of activities, which give rise to profits for the holders residing in the Argentine Republic in the third category, as definición establecida en el artículo sin número incorporado a continuación del artículo 16, entendiéndose que en los casos en que ese artículo hace referencia a “territorio de la Nación”, “territorio nacional”, “país” o “República Argentina” se refiere al “ exterior”, cuando alude a “sujetos del exterior” hace referencia a “sujetos del país” y cuando menciona “exterior” debe leerse “país”.

 

The above definition also includes subdivisions for the purpose of urbanization and the construction and transfer of real estate under similar regimes to the horizontal property of the Civil and Commercial Code of the Nation, carried out in foreign countries.

 

( Article replaced by Article 70 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. 129 - In order to determine the tax result of a foreign source of the permanent establishments referred to in the previous article, accounting registrations must be carried out separately from those of their holders resident in the country and those of other stable establishments. outside of the same owners, making the necessary adjustments to establish said result. (Expression "stable establishment" replaced by "permanent establishment", by article 79 of Law N ° 27,430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

For the purposes set forth in the preceding paragraph, transactions made between the owner of the country and its permanent establishment abroad, or by the latter with other permanent establishments of the same owner, installed in third countries, or with persons or other entities linked, domiciled, constituted or located in the country or abroad shall be considered as made between independent parties, it being understood that those transactions give rise to considerations that must be adjusted to those agreed by third parties who, considering the indicated nature, carry out each other same or similar transactions in the same or similar conditions. (Expression "stable establishment" replaced by "permanent establishment", by article 79 of Law N ° 27,430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

When the considerations do not conform to those agreed upon by independent parties, the excess and default differences registered with respect to those agreed by those parties, respectively, in those charged to the resident owner or those in charge of the permanent establishment with which the transaction was made, will be included in the Argentine source earnings of the resident owner. In the event that the indicated differences are registered in transactions carried out between establishments of the same owner installed in different foreign countries, the benefits that they entail will be included in the foreign source profits of the permanent establishment that would have stopped obtaining them as a result of the set considerations. The same criterion must be applied with respect to the transactions that the establishment or establishments carry out with other persons or other types of related entities. (Expression "stable establishment" replaced by "permanent establishment", by article 79 of Law N ° 27,430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

If the separate accounting does not adequately reflect the foreign source tax result of a permanent establishment, the FEDERAL ADMINISTRATION OF PUBLIC REVENUES, an autarkic entity within the scope of the MINISTRY OF ECONOMY AND PUBLIC WORKS AND SERVICES, may determine this on the basis of the remaining accounting records. of the holder resident in the country or based on other indices that are appropriate. (Expression "stable establishment" replaced by "permanent establishment", by article 79 of Law N ° 27,430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

(Article replaced by Law No. 25,239 , Title I, art. 1, clause r). - Validity: As of 12/31/99 and will take effect for the exercises that begin as of said date.)

 

Art. 130 - Transactions carried out by residents in the country or by their stable establishments installed abroad, with persons or other entities domiciled, incorporated or located abroad with which the former are linked, shall be considered to all effects as held between independent parties, when their considerations and conditions conform to normal market practices between independent entities.

 

If the requirement established above is not complied with so that the transactions are considered to be entered into by independent parties, the excess and deficiency differences that, respectively, are recorded in the consideration paid by the controlling persons and in those of their installed stable establishments. abroad, or in those of the controlled company, with respect to those that would have corresponded according to normal market practices between independent entities, shall be included, as appropriate, in the Argentine source earnings of residents in the controlling country or in those of foreign source attributable to their stable establishments installed abroad. For the purposes of determining prices, the rules set forth in Article 15 shall apply, as well as those related to transactions with countries with low or no taxation established therein.

 

For the purposes of this article, they constitute controlled companies established abroad, those in which human persons or ideal residents of the country or, where appropriate, undivided successions that have the same status, are directly or indirectly owners of of FIFTY PER CENT (50%) of its capital or have, directly or indirectly, the number of votes necessary to prevail in the shareholders' meetings or meetings of partners. For these purposes, the provisions of the article incorporated after article 15 will also be taken into consideration (Expression "of visible existence" replaced by "human", by article 79 of Law N ° 27.430 BO 29/12/2017. Validity: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that comprise it, see Article 86 of the Reference Law)

 

(Article replaced by Law No. 25,239 , Title I, art. 1, subsection s). - Validity: As of 12/31/99 and will take effect for the exercises that begin as of said date.)

 

Net income and net profit subject to tax

 

Art. 131 - The determination of net income from a foreign source will be made in accordance with the provisions of article 17 and the other provisions contained in titles II and III, as long as their scope allows them to be related to the profits of that source, with the modifications and adjustments provided in this title. The regulation will establish the legal provisions that are not applicable to determine the aforementioned net profit.

 

To determine the net profit subject to tax from a foreign source, the individuals and undivided estates resident in the country will subtract the deductions included in subparagraphs a) and b) of article 23 from the net gain defined in the preceding paragraph, in the as they exceed the net income of Argentine source corresponding to the same fiscal year.

 

Art. 132 - The tax result of a foreign source of the stable establishments defined in article 128, will be determined in the currency of the country in which they are installed, applying, where appropriate, the conversion rules that are established for them. in this title. Their holders residing in the country, will convert those results to Argentine currency, considering the exchange rate foreseen in the first paragraph of article 158 corresponding to the closing date of the establishment's annual exercise, computing the buyer or seller exchange rate, according to which the Tax result will express a benefit or a loss, respectively.

 

In the case of earnings from a foreign source not attributable to the aforementioned establishments, the net profit shall be determined in Argentine currency. To that effect, except in the cases specifically provided for in this title, the gains and deductions shall be converted considering the dates and exchange rates determined by the regulation, in accordance with the conversion rules set forth for the foreign source earnings included in the third category or with those of imputation that are applicable.

 

Imputation of profits and expenses

 

Art. 133 - The allocation of profits and expenses included in this Title will be carried out in accordance with the provisions contained in article 18 that are applicable to them, with the adjustments established below:

 

a) To determine the results attributable to the Permanent establishments defined in Article 128, they will be charged according to the provisions of Article 18, as provided in the fourth paragraph of subparagraph a) of its second paragraph and in its fourth paragraph.

 

b) The tax results of the permanent establishments referred to in the preceding paragraph shall be imputed by their holders resident in the country - included in subparagraphs d) and e) of article 119 -, to the year in which the corresponding annual fiscal year ends. the first or, when their holders are human persons or undivided estates resident in the country, the fiscal year in which such event occurs.

 

c) The profits obtained directly by the residents in the country included in subparagraphs d), e) and f) of article 119, not attributable to the stable establishments mentioned above, will be allocated to the fiscal year in the manner established in article 18, depending on the provisions, as appropriate, in the first three paragraphs of subparagraph a) of its second paragraph, considering profits for the year that are attributable to it as established in that subsection and in the fourth paragraph of said article .

 

Notwithstanding the foregoing, the profits that are taxed abroad through withholding at the source as a single and definitive payment at the time of their accreditation or payment, may be imputed considering that time, provided that they do not come from operations carried out by the holders residing in the country of permanent establishments included in subsection a) above with said establishments or in the case of benefits remitted or accredited by the latter to the former. When this option is adopted, it must be applied to all the profits subject to the payment modality that authorizes it and must be maintained as a minimum, during a period that includes five (5) annual exercises.

 

d) The profits obtained by trust, trusts, foundations of private interest and other similar structures constituted, domiciled or located abroad, as well as any contract or arrangement concluded abroad or under a foreign legal regime, whose main purpose is the administration of assets, will be charged by the resident subject that controls them to the fiscal year or year in which the annual exercise of such entities, contracts or arrangements ends.

 

It will be understood that a subject has control when there is evidence that the financial assets remain in their power and / or are administered by said subject (including among others the following cases: (i) in the case of trusts, trusts or foundations, revocable, (ii) when the constituent subject is also a beneficiary, and (iii) when that subject has decision-making power, directly or indirectly to invest or divest assets, etc.

 

e) Earnings of residents in the country obtained through their participation in companies or other entities of any type incorporated, domiciled or located abroad or under a foreign legal regime, shall be charged to their shareholders, partners, shareholders, owners, controllers or beneficiaries, resident in the country, for the fiscal year or fiscal year in which the annual fiscal year of such companies or entities ends, in the proportion of their participation, as long as said income is not available. in the provisions of subparagraphs a) to d) above.

 

The provisions of the preceding paragraph will be applicable as long as the companies or entities do not possess a fiscal personality in the jurisdiction in which they are incorporated, domiciled or located, and the income obtained must be directly attributed to their shareholders, partners, shareholders, owners. , controllers or beneficiaries.

 

f) The profits of the residents in the country obtained by direct or indirect participation in companies or other entities of any type constituted, domiciled or located abroad or under a foreign legal regime, will be imputed by its shareholders, partners, participants, holders, controllers or beneficiaries resident in the country for the fiscal year or year in which the corresponding annual exercise of the former ends, provided that the requirements set forth in the following sections are met concurrently:

 

1. That the incomes in question do not receive specific treatment in accordance with the provisions of a) to e) above.

 

2. That the residents of the country -by themselves or jointly with (i) entities over which they have control or relationship, (ii) with the spouse, (iii) with the partner or (iv) with other taxpayers linked by ties of kinship, on an ascending, descending or collateral line, by consanguinity or affinity, up to the third degree inclusive- have a participation equal to or greater than fifty percent (50%) in the equity, results or voting rights of the entity. resident.

 

This requirement will be considered fulfilled, regardless of the percentage of participation, when the subjects resident in the country, with respect to foreign entities, meet any of the following requirements:

 

(i) Possess any. Title the right to dispose of the assets of the entity.

 

(ii) Have the right to elect the majority of the directors or administrators and / or integrate the board of directors and its votes are those that define the decisions that are made.

 

(iii) Possess powers to remove the majority of directors or administrators.

 

(iv) Possess a current right on the benefits of the entity.

 

This requirement will also be considered fulfilled, regardless of the percentage of participation held by residents in the country, when at any time during the year the total value of assets of foreign entities comes at least thirty percent (30%) of the value of financial investments generating passive income from Argentine source considered exempt for foreign beneficiaries, under the terms of subsection w) of article 20.

 

In all cases, the result will be attributed according to the percentage of participation in the equity, results or rights.

 

3. When the foreign entity does not have the organization of material and personal means necessary to carry out its activity, or when its income originates in:

 

(i) Passive income , when they represent at least fifty percent (50%) of the income of the year or fiscal year.

 

(ii) Income of any kind that directly or indirectly generates tax deductible expenses for related individuals resident in the country.

 

In the cases indicated in the previous paragraph, the results derived from this type of income will be imputed according to the provisions of this subsection.

 

4. That the amount actually paid by the non-resident entity, in the country in which it is incorporated, domiciled or located, attributable to any of the income included in section 3 above, corresponding to taxes of identical or similar nature to this tax , is less than seventy-five percent (75%) of the corporate tax that would have corresponded in accordance with the rules of the tax law. It is presumed, without admitting proof to the contrary, that this condition operates, if the foreign entity is incorporated, domiciled or settled in non-cooperating jurisdictions or with low or no taxation.

 

The same treatment must be observed with respect to indirect participations in non-resident entities that comply with the conditions mentioned in the previous paragraph.

 

The provisions of this section shall not apply when the local subject is a financial entity governed by law 21,526, an insurance company included in law 20,091 and not in cases of mutual funds governed by law 24,083.

 

g) The fees earned by residents in the country in their capacity as directors, trustees or members of supervisory boards or similar governing bodies of companies incorporated abroad shall be charged to the fiscal year in which they are received.

 

h) The benefits derived from compliance with the requirements of private retirement insurance plans administered by entities incorporated abroad or by permanent establishments established abroad by entities resident in the country subject to the control of the National Superintendence of Insurance. , as well as the redemptions for retirement to the insured of those plans, will be imputed to the fiscal year in which they are received.

 

i) The imputation provided for in the last paragraph of Article 18 shall apply to expenditures made by holders resident in the country included in subparagraphs d) and e) of article 119 of the permanent establishments referred to in subparagraph a) of this article, when such disbursements configure profits of Argentine origin attributable to the latter, as well as those made by residents in the country and have the same character for companies incorporated abroad that said residents directly or indirectly control.

 

The imputation of the rents referred to in paragraphs d), e) and f) above, will be the one that would have corresponded to apply for the resident subject in the country, according to the income category in question, calculating the operations carried out in the exercise in accordance with the rules relating to the determination of net income, conversion and aliquots, which would have been applicable if they had been obtained directly. The regulation will establish the treatment to be granted to dividends or profits originated in profits that would have been imputed based on such forecasts in previous fiscal years or years to the one that refers the distribution of such dividends and profits.

 

( Article replaced by article 71 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it See Article 86 of the Reference Law)

 

Compensation of losses with gains

 

Art. 134 - To establish the net gain from a foreign source, the results obtained within each one and between the different categories will be compensated, considering for this purpose the results from all the sources located abroad and those from the permanent establishments indicated in article 128.

 

When the compensation set forth above results in a loss, the loss, updated in the manner established in the eleventh paragraph of article 19, may be deducted from the net gains from a foreign source obtained in the five (5) years immediate following, computed in accordance with the provisions of the Civil and Commercial Code of the Nation. After the last of these years, the remaining loss will not be subject to any compensation.

 

If a net gain arises from said compensation or after the deduction provided for in the preceding paragraphs, the Argentine source losses -when duly updated- that are deductible according to the ninth paragraph of the aforementioned statement shall be charged against it. Article 19, whose imputation to the net income of Argentine source of the same fiscal year would not have been possible.

 

( Article replaced by Article 72 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. 135 - Notwithstanding the provisions of the preceding article, the losses derived from the sale of shares, representative securities and certificates of deposit of shares and other securities, quotas and social participations -including mutual funds or entities with another denomination that they fulfill similar functions and trusts or similar contracts-, digital currencies, Securities, bonds and other values, whatever the subject that experiences them, will be considered of specific nature and can only be computed against the net profits of the same source and that come from the same type of operations, in the fiscal years or years that the losses were experienced or. in the next five (5) years, computed according to the provisions of the Civil and Commercial Code of the Nation.

 

Except in the case of those experienced by the permanent establishments, for the purpose of the deduction the losses will be updated in accordance with the provisions of the eleventh paragraph of article 19.

 

Argentine source losses caused by income from investments -including the digital currencies- and operations referred to in Chapter II of Title IV of this law, may not be charged against net gains from a foreign source arising from the alienation of the same type of investments and operations nor be subject to the deduction provided in the third paragraph Article 134.

 

( Article replaced by Article 73 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with the provisions of each of the Titles that compose it See article 86 of the Reference Law)

 

Art. 136 - For the purposes of the compensation provided for in the preceding articles, the amounts authorized to deduct the second paragraph of article 131 shall not be considered losses.

 

Exemptions

 

Art. 137 - The exemptions granted by article 20 that, in accordance with the scope established in each case may be applicable to foreign-source earnings, shall govern the same with the following exclusions and adjustments:

 

a) The exemption provided by subsection h) will not be applicable when the deposits contemplated, are made in or by stable establishments installed outside the institutions resident in the country to which said subsection refers. (Subparagraph substituted by Law No. 25,239 , Title I, art. 1, clause v). - Validity: As of 12/31/99 and will take effect for the exercises that begin as of said date.)

 

b) The benefits and redemptions, net of contributions, derived from private retirement insurance plans administered by entities incorporated abroad or by stable establishments established in the foregoing, shall be considered included in the exclusions provided in subparagraphs i), last paragraph and n). the foreigner of institutions resident in the country subject to the control of the Superintendence of Insurance of the Nation, dependent of the Undersecretariat of Banks and Insurances of the Secretariat of Economic Policy of the Ministry of Economy and Works and Public Services;

 

c) The exclusion provided in the last paragraph in fine of subsection v) with respect to the updates that constitute gains from a foreign source, does not include the exchange differences attributed to this Title by the same source. (Subparagraph substituted by Article 73 of Law No. 27,260 BO 22/7/2016 Effective: from the day following its publication in the Official Gazette.)

 

Outputs not documented

 

Art. 138 - When the situation foreseen in article 37 is configured with respect to expenditures that are linked to the obtaining of profits from a foreign source, the treatment provided for in said norm will be applied, except when it is convincingly demonstrated that there is sufficient evidence to presume that were intended for the acquisition of goods or that did not originate taxable profits in the hands of the beneficiary.

 

In the cases in which the demonstration made gives rise to the presumptions indicated in the previous paragraph, the income contemplated in the article cited therein will not be required, without the deduction of the expenses being admitted, except in the case of acquisition of goods, in which case they will receive the treatment that this title grants them according to the nature of the goods to which they were destined.

 

Chapter III

 

Earnings of the first category

 

Art. 139: - Those included in subsection f) of article 41 are those properties located abroad that their owners residing in the country allocate to permanent housing, keeping them enabled to provide them with housing at all times and in a continuous manner.

 

For the purposes of the application of subparagraphs f) and g) of the article mentioned in the previous paragraph, with respect to properties located outside the national territory, it is presumed, without admitting proof to the contrary, that the locative value or presumed lease attributable to them, it is not inferior to the rent or lease that the owner would obtain if he rents or rents the good or the part of the same that occupies or cedes gratuitously or at a price not determined.

 

Chapter IV

 

Earnings of the second category

 

Art. 140 - Foreign-source earnings included in Article 45, those set forth in it that generate sources located abroad - excluding the one included in subparagraph i) -, with the aggregates listed below:

 

a) Dividends or profits distributed by companies or other entities of any type incorporated, domiciled or located abroad, as long as these revenues are not included in the following paragraphs.

 

For such purposes, the provisions of the following article shall apply, as well as, the cases established in the first article incorporated after article 46. ( Subparagraph substituted by article 74 of Law N ° 27.430 BO 29/12/2017. Validity: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that comprise it, see Article 86 of the Reference Law)

 

b) Earnings from abroad obtained in the capacity of beneficiary of a trust or equivalent legal entities.

 

For the purposes of this subsection, all distributions made by the trust or equivalent figure shall be considered as profits, unless proof to the contrary proves conclusively that they did not obtain benefits and do not have accumulated profits generated in periods prior to the last fulfillment, included in both cases capital gains and other enrichments. If the taxpayer proves in the manner indicated that the distribution exceeds the aforementioned benefits, only the proportion of the distribution corresponding to the latter shall be considered as profit;

 

c) The net benefits of contributions, coming from the fulfillment of private retirement insurance plans administered by entities incorporated abroad or by stable establishments installed abroad by entities resident in the country subject to the control of the National Superintendence of Insurance , dependent of the Undersecretariat of Banks and Insurance of the Secretariat of Economic Policy of the Ministry of Economy and Works and Public Services;

 

d) The net redemptions of contributions, originating in the withdrawal of the private retirement insurance plans indicated in the preceding paragraph;

 

e) The profits distributed by the mutual funds or equivalent figures that fulfill the same function constituted abroad;

 

f) Income generated by the lease of goods exported from the country as a result of a lease agreement with purchase option entered into with a foreign tenant is considered included in subsection b).

 

Art. 141 - Dividends in cash or in kind - including liberated shares - distributed by the companies referred to in subparagraph a) of the preceding article, are fully subject to the tax, whatever the business funds with which the payment is made. Dividends in shares arising from revaluations or accounting adjustments, not originated in liquid and realized profits, are not considered taxable.

 

For the purposes set forth in the preceding paragraph, the released shares will be computed at their nominal value and the remaining dividends in kind at their current value in the place where the assets are located at the time of making the dividends available.

 

Art. 142 - In the case of total or partial redemption of shares, a distribution dividend will be considered as the difference between the amount of the redemption and the computable cost of the shares. In the case of liberated shares distributed before the validity of this title or of those whose distribution is not subject to tax in accordance with the provisions of the final part of the first paragraph of the preceding article, its computable cost shall be considered equal to zero ( 0) and that the total amount of the ransom constitutes a dividend subject to taxation.

 

The computable cost of each share will be obtained by considering as numerator the amount attributed to the equity item in the commercial balance sheet of the last year closed by the issuing entity, immediately prior to the redemption, net of the net and realized profits that comprise it and the reserves that they have origin in utilities that fulfill the same condition, and as denominator the shares in circulation.

 

For the purposes set forth in the preceding paragraphs, the amount of the redemption and the computable cost of the shares shall be converted into the appropriate currency according to the provisions of article 132, considering, respectively, the date on which the redemption was made and the of the closing of the exercise taken as a basis for determining the computable cost, except when the redemption or the computable cost, or both, are expressed in the same currency that said article considers for the purposes of the conversion.

 

When the shares that are redeemed belong to residents in the country included in subparagraphs d), e) and f) of article 119 or to the stable establishments defined in article 128 and they have acquired them to other shareholders, it will be understood that the redemption implies an alienation of those actions. To determine the result of this operation, the corresponding computable cost will be considered as the sale price in accordance with the provisions of the second paragraph and the acquisition cost will be obtained through the application of article 152 and, if applicable, of article 154. If the result is a loss, it may be offset by the amount of the dividend from the redemption that originates it and in the case of remaining unrealized losses, the treatments provided in the article shall be applicable to it. 135

 

Art. 143 - With respect to the benefits and redemptions contemplated by subparagraphs c) and d) of article 140, the gain shall be established in the manner provided in article 102, without applying the updates contemplated therein.

 

For the purposes of this article, contributions made in foreign currency will be converted into Argentine currency at the date of payment.

 

When the countries of incorporation of the entities that administer the private retirement insurance plans or in which are installed stable establishments of entities subject to the control of the National Insurance Superintendence, dependent on the Undersecretariat of Banks and Insurance of the Secretariat of Economic Policy of the Ministry of Economy and Public Works and Services, which perform this administration, admit the updating of the contributions made for the purpose of determining the analogous taxes that apply, such contributions, converted to the currency of said countries to the date of their payment, will be updated based on the variation experienced by the price indexes that they consider for this purpose, or the coefficients they establish based on the variations, from the aforementioned date to the date of their perception. The difference in value obtained as a result of this update, converted into Argentine currency at the last date indicated, shall be subtracted from the gain established in the manner provided in the first paragraph of this article.

 

The treatment established above, will proceed provided that the one applied in the countries considered in the previous paragraph that bases its application is proven, as well as the indices or coefficients contemplated for that purpose by those countries.

 

Article 144 - When capital in foreign currency located abroad is applied to obtain annuities, they shall be converted into Argentine currency at the date of payment thereof.

 

Art. 145 - For the purposes set forth in Article 48, when it is to be understood that the credits originated by the debts to which the same refers form the economic placement or use of capital in a foreign country, the interest rate to be considered is not it may be less than the maximum fixed by the banking institutions of said country for operations of the same type, to which, in its case, the agreed updates or readjustments must be added .

 

Art. ... - For the purpose of determining the gain on the sale of goods included in this category, the costs or investments duly made as well as the updates that were applicable by virtue of the provisions of the respective jurisdiction. , expressed in the currency of the country in which the assets were located, placed or used economically, must be converted at the rate of the seller that considers article 158, corresponding to the date on which the sale takes place.

 

(Article s / n incorporated after article 145, by article 75 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions in each one of the Titles that compose it, see article 86 of the Reference Law)

 

Chapter V

 

Earnings from the third category

 

Income included

 

Art. 146 - Earnings from a foreign source obtained by those responsible referred to in subparagraphs a) to d) of article 49, and in the last paragraph of the same article and those for which the subjects included in subsection f ) of article 119, include, when appropriate:

 

a) Those attributable to stable establishments defined in article 128.

 

b) Those that are attributable to them as shareholders, partners, participants, owners, controlling or beneficiaries of companies and other entities constituted abroad -including mutual funds or entities with another denomination that fulfill similar functions and trusts or similar contracts-, without being applicable in relation to dividends and profits, as established in article 64.

 

c) originated by the exercise of the purchase option in the case of goods exported from the country as a result of lease agreements with the option to buy held with tenants from abroad.

 

In the case of human persons and undivided estates resident in the country, they also constitute foreign source earnings of the third category: (i) those attributable to permanent establishments defined in article 128 and (ii) those that are charged according to the provisions of subparagraphs d), e) and f) of, article 133, as long as they do not correspond to other categories of earnings. The regulations will establish the procedure for determining such rents, taking into account the provisions of the laws of analogous taxes that govern in the countries of constitution or location of the aforementioned entities or of the applicable accounting standards in them.

 

When calculating the compensations contemplated by the second paragraph of article 49 as a result of activities included in it developed abroad, it shall be considered a profit of the third category to all of them, without prejudice to the deduction of the necessary expenses reimbursed through it or made to obtain them, provided they are backed by reliable documentation.

 

( Article replaced by Article 76 of Law N ° 27.430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. 147 - In order to determine the tax result of the stable establishments defined in article 128, the profits of Argentine source attributable to them, as well as the costs, expenses and other deductions related to their obtaining, must be excluded.

 

For the purposes of these exclusions, net profit shall be considered as the net gain presumed by article 93 -or those provisions referred to in its last paragraph- and as costs, expenses and deductions, the proportion of income not included in it, procedure that will be applied even when Argentine source earnings are exempt profits.

 

Attribution of results

 

Art. 148 - The holders residing in the country of the stable establishments defined in article 128, will be assigned the tax results of foreign source of the same, even if the benefits had not been remitted or credited in their accounts. The same criterion will apply to the shareholders resident in the country of companies for shares incorporated or located abroad.

 

The allocation provided in the previous paragraph shall not apply to foreign source losses attributable to said establishments and originated by the transfer of shares, quotas or social participations -including the quotas part of the mutual funds or institutions that fulfill the same function. - those that, expressed in the currency of the country in which they are installed, will be compensated in the manner provided in article 135.

 

(Article replaced by Law N ° 25.239 , Title I, art.1 °, paragraph w). - Validity: As of 12/31/99 and will take effect for the exercises that begin as of said date.)

 

Article 149 - ( Article repealed by Article 80 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with the provisions of each of the Titles that compose it See article 86 of the Reference Law)

 

Art. 150 - The tax result of a foreign source of the subjects included in subparagraphs b) to d) and in the last paragraph of article 49, shall be treated in the manner provided in article 50, not applying for this purpose the provisions of its last paragraph.

 

The treatment set forth above shall not be applied with respect to losses from foreign sources arising from the sale of shares, representative securities and certificates of deposit of shares and other securities, quotas and social participations -including shares of mutual funds or entities with another denomination. that they fulfill the same functions and certificates of participation of financial trusts and any other rights over trusts and similar contracts-, digital currencies, Securities, bonds and others, which will be compensated by the company, company or sole proprietorship in the manner established in the article 135.

 

( Article replaced by article 77 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles compose it See article 86 of the Reference Law)

 

Art. 151 - The existence of property of exchange -except real estate- of the stable establishments defined in article 128 and of those acquired or elaborated outside the national territory by residents in the country, for their sale abroad, will be computed, according to the nature of the same, using the methods established in article 52, without considering, where appropriate, the planned updates regarding them and applying: the remaining provisions of said article with the adjustments and additions indicated below:

 

a) The value of the farm of the breeding establishments will be determined applying the method established in subparagraph d), paragraph 2, of said article 52;

 

b) The value of the inventories of the forestry operations will be established considering the cost of production. When the countries in which the permanent establishments that operate are located, in their taxes analogous to the tax of this law, admit the updates of said cost or apply global or integral adjustments to contemplate the effects produced by inflation in the tax result, the aforementioned cost will be updated taking into account the different investments that comprise it, from the date of realization of the same until the end of the year, based on the variation experienced by the price indices considered in said measures between those dates or by application of the coefficients prepared by those countries taking into account that variation, applicable during the period indicated. The update that this subsection considers will proceed provided that the treatments adopted in the countries where the establishments are installed and the indices or coefficients they use for the purpose of their application are accredited;

 

c) The value of the stock of mining products, quarries and similar goods shall be valued in accordance with the provisions of subsection b) of article 52.

 

In the case of real estate and works under construction that are of the nature of exchange goods, the value of the inventories will be determined by applying the rules of article 55, without taking into account the updates contemplated therein.

 

Art. 152 - When assets that are part of the fixed assets of the stable establishments defined in article 128 are disposed of, or have been acquired, elaborated or built abroad by residents in the country, to affect them to the production of source earnings foreign currency, the computable cost, according to the nature of the alienated goods, will be determined in accordance with the provisions of articles 58, 59, 60, 61, 63 and 65, without considering the updates that they may contemplate. In the cases in which they authorize the reduction of the cost in the amount of amortizations, they will be determined according to the provisions of this title. When shares arising from revaluations or accounting adjustments or received as a dividend before the validity of this security and issued by the company that made the distribution are transferred, no cost will be computed.

 

In the case of public securities, bonds or other securities issued by foreign States, their political subdivisions or official or mixed entities of said States and subdivisions, as well as by companies or entities established abroad, the tax cost considered by Article 63 shall be the acquisition cost.

 

Art. 153 - When imported furniture is transferred abroad by residents of the country, under the regime of export for consumption, to apply it to the production of income from a foreign source, the computable cost will be given by the tax value attributable to the resident in the country at the beginning of the year in which he made the referral or, if the acquisition or completion of the manufacturing, manufacturing or construction had taken place after the start of the year, the cost established according to the provisions of the applicable articles that regulate the determination of the computable cost for the purpose of determining the Argentine source earnings, increased, if applicable, in transport and insurance costs to the country to which they were remitted and decreased in the amortizations determined in accordance with the provisions of this title are computable as a result of the affectation of the good to the production of gan years of foreign source.

 

The same criterion will be applied when goods are disposed of that are used or placed economically in the country, were used or placed economically abroad with the same purpose, with the exceptions imposed by the nature of the alienated goods.

 

Art. 154 - When the countries in which the goods referred to in articles 152 and 153 are located, the nature of which corresponds to that of those included in articles 58, 59, 60, 61 and 63, or those in the that the stable establishments defined in article 128 of whose assets these assets are part are incorporated, admit in their legislations relative to taxes analogous to this law, the updating of their costs in order to determine the gross profit from their alienation or adopt adjustments of a global or integral nature that cause the same effect, the costs contemplated in the two (2) articles mentioned in the first term, may be updated from the date on which, according to them, they must be determined until the sale, in function of the variation experienced in said period by the price indices or coefficients elaborated in function of that variation that those measures consider, even though in the These procedures are used to determine the value attributable to all or some of the goods included in this paragraph.

 

The same treatment will apply when the aforementioned countries apply any of the measures indicated with respect to the amounts invested in the preparation, construction or manufacture of amortizable personal property or in constructions or improvements made on real estate, in which case the update will be made from the date on which the investments were made up to the date of determination of the cost of the first property mentioned and of the constructions or improvements made on real estate or, in this last case, until the sale if it were works or improvements in course to that date.

 

If the countries referred to in the first paragraph do not establish in their legislation taxes analogous to this law, but admit the updating of values for the purposes of the application of global taxes on net worth or on the possession or possession of goods, Indices that are used in general for these purposes may be considered to update the costs of the goods indicated in the first paragraph of this article.

 

For the purposes of the updates provided in the preceding paragraphs, if the upgradeable costs or investments are to be computed in Argentine currency, they shall be converted into the currency of the country in which the goods were located, placed or used economically, at the seller's exchange rate which considers article 158, corresponding to the date on which the sale of the goods referred to in articles 152 and 153. occurs (Paragraph replaced by article 74 of Law No. 27,260 BO 22/7/2016. Validity: from the day following its publication in the Official Gazette.)

 

The difference in value established as a result of the update will be added to the costs attributable to the goods, when the application of the provisions of the preceding paragraph applies, the difference in value expressed in foreign currency will be converted into Argentine currency, applying the type of change contemplated therein corresponding to the end date of the period covered by the update.

 

In the case of assets in respect of which the determination of the computable cost admits the deduction of amortizations, these will be calculated on the amount that results from adding to their costs the value differences from the authorized updates.

 

The treatment established in this article must be supported with the reliable proof of those applied in the foreign countries that make them possible, as well as with the relative origin of the price indices or coefficients used.

 

Provisions in favor of third parties

 

Art. 155 - When the residents included in subsection d) of article 119, dispose in favor of third parties of funds affected to the generation of profits from foreign sources or from them or of goods located, placed or used economically abroad , without such provisions responding to operations performed in the interest of the company, it shall be presumed, without admitting proof to the contrary, a gain from a taxable foreign source equivalent to an interest with annual capitalization not less than the maximum fixed for commercial loans by the country's institutions in which the funds were found or in which the goods were located, placed or used economically.

 

The same presumption shall apply with respect to provisions in favor of third parties who, not responding to transactions carried out in their interest, make the stable establishments defined in article 128 of funds or assets that form part of their assets, in which case the interest considered as reference to establish the presumed profit, it will be the largest fixed for the purpose indicated in the preceding paragraph by the banking institutions of the countries in which they are installed.

 

This article shall not apply to deliveries made to its members by the companies included in section 2 of subparagraph a) of article 69 or to those that the said stable establishments carry out to their holders residing in the country, as well as to the provisions to whose respect is applicable to Article 130.

 

Construction companies

 

Art. 156 - In the case of permanent establishments defined in article 128 that carry out the operations contemplated in article 74, for the purposes of the declaration of the gross result, the provisions contained in the last article cited will be applied, with the exception of the included ones in the third paragraph of paragraph a) of its first paragraph and in its third paragraph. When the aforementioned transactions are carried out abroad by construction companies resident in the country, without their realization configuring the constitution of a permanent establishment included in the definition indicated in the preceding paragraph, the gross result shall be declared in the manner established in the fourth paragraph. paragraph of the aforementioned article 74 . (Expression "stable establishment" replaced by "permanent establishment", by article 79 of Law N ° 27,430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

Mines, quarries and forests

 

Art. 157 - In the case of mines, quarries and natural forests located abroad, the provisions contained in article 75 shall apply. When following the legal principles related to the ownership of the subsoil, the first one does not apply. paragraph of said article, the Federal Administration of Public Revenues, self-sufficient entity within the scope of the Ministry of Economy and Public Works and Services, will authorize other systems destined to consider the exhaustion of the productive substance, based on the value attributable to it before start the exploitation.

 

With respect to natural forests, the provisions of article 76 shall not apply.

 

Conversion

 

Art. 158 - Except for the profits attributable to stable establishments defined in article 128, transactions in other countries' currency computable to determine foreign-source earnings of residents in the country will be converted into Argentine currency at the buyer's exchange rate or seller, as applicable, in accordance with the quotation of the Argentine National Bank at the close of the day on which the transactions are made and in accordance with the provisions that, in the matter of changes, govern on that occasion.

 

When the operations included in the previous paragraph, or the credits originated to finance them, give rise to exchange differences, the same, established by annual revaluation of unpaid balances or by difference between the last valuation and the amount of the total or partial payment of the balances, will be computed in order to determine the tax result of foreign source.

 

If the currencies that for the resident in the country originated the operations and credits referred to in the previous paragraph, are entered into the national territory or arranged in any form abroad by the same, the exchange differences that originate those events will be included in your foreign source earnings .

 

Art. 159 - In the case of stable establishments included in article 128, the computable operations to determine the tax result expressed in other currencies will be converted into the currency of the country in which they are installed, applying the buyer's exchange rate. or seller, as the case may be, according to the quotation of the banking institutions of that country at the closing of the day on which the transactions are made.

 

All operations payable in currencies other than the country in which the establishment is located, will be accounted for at the change actually paid, whether it is cash transactions, or the one corresponding to the day of entry, in the case of purchases, or exit, in the sales, when dealing with credit operations.

 

Exchange differences arising from operations considered in the preceding paragraphs or credits in currencies other than the country in which they are installed, originated to finance them, established in the manner indicated in the second paragraph of the preceding article, shall be computed in order to determine the tax result of permanent establishments. The same computation will proceed with respect to the exchange differences that occur as a result of the introduction to the aforementioned country of the currencies originated by those operations or credits or of their disposition in any form abroad. In no case will the exchange differences arising from operations or credits arranged in Argentine currency be computed. (Expression "stable establishment" replaced by "permanent establishment", by article 79 of Law N ° 27,430 BO 29/12/2017 Effective date: the day following its publication in the Official Gazette and will take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

When the establishments referred to in this article remit profits to their holders resident in the country, included in clauses d) and e) of article 119, these, to establish their tax result of foreign source corresponding to the year in which it occurs the respective receipt, compute the exchange differences resulting from comparing the amount of profits remitted, converted to the buyer exchange rate provided in the first paragraph of the previous article regarding the day of receipt of profits, with the proportion that comes from the result tax of the permanent establishment to which those profits correspond, converted to the same currency in accordance with the provisions of article 132. (Expression "stable establishment" replaced by "permanent establishment", by article 79 of Law N ° 27.430 BO 29 / 12 / 2017. Validity: the day following its publication in the Official Gazette and will supply in accordance with the provisions of each of the Titles that compose it. See art. 86 of the Reference Law)

 

To that end, it is presumed, without admitting proof to the contrary, that the profits reimbursed are attributable to the profits obtained by the establishment in its last year closed before remitting them or, if such imputation is not possible or would result in an excess of profits Reimbursed, that the amount not imputed is attributable to the immediately previous one or to the previous immediate ones, considering in the first place the one or those whose closing is closest to the sending of the remittances .

 

Chapter VI

 

Earnings of the fourth category

 

Art. 160 - Included in article 79, the net benefits of the contributions made by the insured, deriving from private retirement insurance plans administered by entities incorporated abroad or by stable establishments installed abroad by resident entities in the country subject to the control of the Superintendence of Insurance of the Nation, dependent of the Undersecretariat of Banks and Insurance of the Secretariat of Economic Policy of the Ministry of Economy and Public Works and Services, as soon as they have their origin in personal work, determine the profit in the manner provided in article 143.

 

Art. 161 - When the computation of the compensations referred to in the last paragraph of article 79 is applicable, all of them shall be considered as profits, without prejudice to the deduction of the expenses reimbursed through them, which are duly documented and provided that it is reliably proven that those compensations, or the pertinent part thereof, have been received as reimbursement of said expenses .

 

Chapter VII

 

Of the deductions

 

Art. 162 - To determine the net gain from a foreign source, the deductions admitted in title III will be made, with the restrictions, adjustments and modifications provided in this chapter and in the manner established in the following paragraphs.

 

The deductions allowed will be subtracted from the foreign source earnings produced by the source that originates them. Individuals or undivided estates resident in the country, as well as residents included in subparagraphs d), e) and f) of article 119, will compute deductions originated abroad and in the country, in the latter case, considering the proportion that could correspond, except, where appropriate, those that are attributable to the stable establishments defined in article 128.

 

To establish the tax result of the stable establishments referred to in the previous paragraph, the expenses attributable to them, the necessary expenses incurred by them, the amortizations of the assets that make up their assets, affected to the production of those profits and the admitted punishments related to the operations they carry out and their personnel.

 

The regulation will establish the way in which the deducible proportion will be determined, based on the gross profits, in the case of deductions related to the obtainment of Argentine source and foreign source and taxable and untaxed foreign source, including exempt for this law and, in the case of human persons and undivided estates, the one in which the deductions attributable to foreign source earnings produced by different sources will be computed . (Expression "of visible existence" replaced by "human", by Article 79 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with provided in each one of the Titles that compose it, See Article 86 of the Reference Law)

 

Art. 163 - With respect to foreign-source earnings, the deductions authorized by articles 81, 82, 86 and 87, will be applied with the following adjustments and without considering the updates that they may contemplate.

 

a) With respect to article 81, it should be considered that:

 

1. The deductions authorized by subsections c) will not be applicable, without the foreign source earnings being computable to establish the limit established in its first paragraph, e) and g), second paragraph.

 

2. Contributions and discounts for retirement funds, pensions, withdrawals or subsidies from foreign States, their political subdivisions, international organizations of which the Nation is a party and, whenever they are obligatory, will be considered included in subsection d). destined to social security institutions of foreign countries.

 

3. They are considered included in the first paragraph of subsection g), mandatory discounts made abroad by application of social security schemes of foreign countries.

 

b) Regarding article 82, it should be considered that:

 

1. The regulation will establish the incidence that the deductions made in accordance with subparagraphs c) and d) will have on the cost of the good.

 

2. The expenses contemplated in item e) may only be computed when they are duly documented.

 

c) Regarding Article 86, it should be considered that:

 

1. The beneficiaries resident in the country of royalties from a foreign source coming from the definitive or temporary transfer of assets -excluding the stable establishments defined in article 128-, will be governed by the provisions of this article, to the exclusion of the provisions of its second paragraph.

 

2. In the cases framed in subparagraph a) of its first paragraph, the provisions of articles 152, 153 and 154 shall be applied, as long as they are included in paragraph b) of the same paragraph, the provisions of articles 152, 153 and 154 shall be taken into account. Articles 164 and 165, considering, in both cases, those that correspond to the nature of the assets.

 

d) With respect to Article 87, it must be considered that:

 

1.For the determination of foreign source earnings not attributable to the stable establishments defined in article 128, the deductions established in this article will be computed, to the extent and proportion that are applicable, without considering the updates that could be contemplated, excluded the provisions and reserves included, respectively, in subparagraphs b) and f), in the latter case when the indemnities to which they refer must be paid in accordance with the labor provisions in force in foreign countries, as well as the deductions included in subsections g ) and h), in these cases when they correspond to people who carry out their activity abroad.

 

2. For the purposes of determining the tax results of the stable establishments defined in article 128, the deductions authorized by this article shall be computed, with the limitation provided in the third paragraph of article 162, to the exclusion of the one established in its subsection j), while the one included in subparagraph d) shall be understood as referring to the reservations that must be compulsorily constituted in accordance with the regulations in force in the matter in the countries in which they are installed, at the same time as the deduction of the expenses, contributions, bonuses, bonuses and other extraordinary rewards referred to in subparagraph g), will only proceed when they benefit all the staff of the establishment.

 

Art. 164 - The amortizations authorized by subparagraph f) of article 81 and the amortizations for attrition referred to in subparagraph f) of article 82, relating to assets affected to obtain profits from a foreign source, shall be determined in the manner provided in the two (2) first paragraphs of article 83 and in paragraph l) of the first paragraph of article 84, without considering the update that it contemplates, according to the nature of the amortizable assets.

 

In the case of movables imported from third countries to that in which they are located, when their purchase price is higher than the wholesale price in force in the place of origin, plus transport and insurance costs to the last country, the provided in the third paragraph of article 84, as well as the rule contained in its fourth paragraph, when commissions had been paid or credited to entities of the same economic group, intermediaries in the purchase operation, regardless of the country where they are located or incorporated.

 

Art. 165 - When the countries in which the goods referred to in the preceding article are located, placed or economically used, or those in which the stable establishments defined in article 128 are installed, in their laws of the taxes similar to the tax of this law, authorize the update of the respective amortizations or adopt other measures of monetary correction that cause the same effect, the amortization installments established according to the provisions of the aforementioned article, may be updated depending on the variation of the indexes of prices considered by said countries to carry out the update or in the other measures indicated or applying the coefficients that for such purposes they elaborate considering said variation, during the period from the date of acquisition or completion of the elaboration, manufacture or construction, to that that contemplate the referred articles pair to his determination.

 

In the cases in which the assets are not part of the assets of the stable establishments mentioned in the preceding paragraph, for the purposes of carrying out the update contemplated, the redeemable amortization installments will be converted into the currency of the country in which they are located. placed, placed or economically used the goods, at the seller exchange rate established in the first paragraph of article 158 corresponding to the date on which the update period ends, while the updated ones will be converted to Argentine currency at the same corresponding exchange rate to the date indicated above.

 

For the cases contemplated in the third paragraph of article 154, the price indices used for the purposes of global taxes on net assets or possession or possession of goods, may be used to update the amortization installments referred to in this article, considering the period indicated in the first paragraph.

 

The provisions of this article may only be applied when the treatments adopted by foreign countries that are contemplated, as well as the price indices or coefficients considered by such treatments, are reliably accredited.

 

Unsupported deductions

 

Art. 166 - With respect to foreign-source earnings, the provisions of article 88 shall apply, insofar as they are applicable in their respect.

 

Notwithstanding the provisions of the preceding paragraph, the scope of the subsections of said article that are considered below shall be established taking into account the following provisions:

 

a) Subparagraph b) includes interest on capital invested by its holders residing in the country in order to install the stable establishments defined in article 128;

 

b) Subparagraph d) includes taxes similar to the taxation of this law applied abroad to foreign source earnings;

 

c) The statutory limitations referred to in subparagraph e), in relation to the remuneration paid by them arising from technical, financial or other advice provided from abroad, shall govern in respect of the stable establishments defined in article 128. .

 

Chapter VIII

 

From the determination of the tax

 

Art. 167 - The tax attributable to the net profit of a foreign source shall be established in the manner provided in this article.

 

a) Individuals and undivided estates resident in the country, will determine the tax corresponding to their net income subject to Argentine source tax and the one corresponding to the amount resulting from adding to it the net profit from a foreign source, applying the scale contained in Article 90. The difference that arises from subtracting the first from the second, will be the tax attributable to foreign source earnings;

 

b) The residents included in subparagraphs d) and f) of article 119, will calculate the tax corresponding to their net income from a foreign source, applying the rate established in subparagraph a) of article 69.

 

Of the tax attributable to foreign source earnings resulting from the application of the norms contained in paragraphs a) and b) above, the credit for analogous taxes regulated in chapter IX shall first be deducted.

 

Chapter IX

 

Credit for analogous taxes effectively paid abroad

 

Art. 168 - Of the tax of this law corresponding to the gains of foreign source, the residents in the country included in article 119 will deduct, up to the limit determined by the amount of that tax, a credit for the analogous national taxes actually paid in the countries in which such profits are obtained, calculated as established in this Chapter.

 

(Article replaced by Law N ° 25.239 , Title I, art.1 °, paragraph x). - Validity: As of 12/31/99 and will take effect for the exercises that begin as of said date.)

 

Article 169 - Taxes analogous to this law are considered those that impose the profits included in article 2, as long as they tax the net income or agree deductions that allow the recovery of the significant costs and expenses computable to determine it. The following are included in the term analogous taxes: the withholdings that, as a single and definitive payment, are carried out by the countries of origin of the profit in the head of the beneficiaries resident in the country, provided that they are taxes that fall within the aforementioned term. , in accordance with what is considered in this article.

 

(Article replaced by Law No. 25,239 , Title I, art. 1, subsection y). - Validity: As of 12/31/99 and will take effect for the exercises that begin as of said date.)

 

Art. 170 - The taxes referred to in the preceding article are deemed to be paid when they have been deposited with the tax authorities of the foreign countries that apply them and are supported by the respective receipts, including, where appropriate, the income of the advances and withholdings that, in relation to these taxes, are applied as payment on account, up to the amount of the determined tax.

 

Except when in this chapter a different treatment is expressly provided, the analogous taxes shall be converted into Argentine currency at the buyer's exchange rate, in accordance with the Argentine National Bank's quotation, at the close of the day on which the actual payment is made, according to the norms and dispositions that in matter of changes govern in their opportunity, being calculated to determine the credit of the fiscal year in which that payment takes place.

 

Art. 171 - Residents in the country, holders of the stable establishments defined in article 128, will compute the analogous taxes actually paid by said establishments on the tax result of the same, that they have included in their earnings from a foreign source.

 

When the tax result of the aforementioned establishments, determined in the country of installation through the application of the regulations in force in them, includes profits typified by this law as from Argentine source, the analogous taxes paid in that country, shall be adjusted excluding the part of the same ones that correspond to those gains. For this purpose, the proportion that results from relating the gross Argentine source earnings considered to determine that result to the total of the profits shall be applied to the tax paid, increased in the credit that would have been granted for the tax levied in the Argentine Republic. gross computed to the same effect.

 

If the tax determined in accordance with the provisions of the preceding paragraph was higher than said credit, the latter will be subtracted from the first in order to establish the analogous tax effectively paid to be deducted.

 

If the countries where the stable establishments are installed will tax the profits attributable to them, obtained in third countries and will grant credit for the taxes actually paid in those countries, the tax compensated for said credits will not be computed to establish the tax paid in the first.

 

The computable analogous tax effectively paid in the country of installation shall be converted in the manner indicated in article 170, except in the case of the advances and withholdings contemplated in this article, which shall be converted at the rate of exchange indicated therein, corresponding the day of the end of the fiscal year of the establishment to which they correspond. The income of the balance payable that arises from the sworn statement filed in the aforementioned country, will be charged to the fiscal year in which the result of the establishment must be included, provided that said income occurred before the expiration fixed for the presentation of the declaration. sworn by its resident holders.

 

The analogous taxes actually paid by the establishments in other foreign countries in which they obtained the income that is attributable to them and that had been subject to taxation in the country in which they are installed, will be charged against the tax applied in the corresponding country. to income from a foreign source, converted at the exchange rate indicated in the preceding paragraph that corresponds to the day considered by the country of installation to convert them to the currency of the same. The same treatment will be applied to similar taxes that stable establishments would have paid on the same profits when they are not subject to tax in the aforementioned country of installation, in which case such taxes will be converted into Argentine currency at the same corresponding exchange rate. to the closing date of the annual exercise of the establishments.

 

The additional provisions applied by the countries in which the stable establishments are located on profits remitted or credited to their holders, will be treated in accordance with the provisions of the last paragraph of article 170.

 

Art. 172 - If the entities included in subparagraphs d), e) and f) of article 133 are constituted, domiciled or located in countries that subject their results to tax, their shareholders, partners, participants, owners, controlling or beneficiaries, residents in the country, the analogous taxes actually paid by the companies and other foreign entities will count, to the extent that it results from applying the proportion that they must consider to attribute those results, as determined by the regulations. The income of the tax thus determined will be attributed to the fiscal year to which the earnings that originate it will be imputed, provided that it takes place before the expiration date for the presentation of the sworn statement of the shareholders, participating partners, owners, controlling or resident beneficiaries or of the presentation of the same, if this was made before that expiration operates.

 

When those countries only tax profits distributed by the companies and other entities considered in this article, the analogous taxes applied on them will be attributed to the fiscal year in which their payment occurs. The same criterion will apply with respect to the similar taxes that these countries apply on such distributions, even when they adopt the treatment considered in the preceding paragraph with respect to said entities.

 

( Article replaced by Article 78 of Law N ° 27.430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Securities that comprise it. See Article 86 of the Reference Law)

 

Art. 173 - Where the application of the provisions of the last paragraphs of articles 171 and 172 is applicable, it shall be presumed, without admitting proof to the contrary, that the profits remitted or distributed are attributable to the period immediately preceding that in which the profits are made. the remittance or distribution. If such imputation is not possible or produces an excess of retained or distributed profits, the unimputed amount will be attributed to the previous immediate years, considering first those closest to the one in which the remittance or distribution took place.

 

Art. 174 - The residents in the country that must pay the analogous tax that they pay in the foreign country by means of affidavit in which they must determine their global net income, will establish the computable part of said tax by applying the percentage that results from relating the profits gross earned in that country and taxable for the purposes of this law, with the total gross earnings included in the aforementioned declaration

 

If the foreign country taxes profits obtained outside its territory, the tax offset by the credits granted by that country for similar taxes paid abroad, will not be considered for the purpose of establishing its analogous tax. This is without prejudice to the computation that applies in respect of analogous taxes paid in third countries in which the income taxed by said foreign country is obtained.

 

Art. 175 - When the residents in the country pay similar tax differences originated by the countries that applied them, that imply an increase of credits computed in fiscal years previous to the one in which the payment of the same was made, such differences are will impute the fiscal year in which they are paid.

 

Art. 176 - In the cases in which foreign countries recognize, by the means provided in their legislations, excess payments of similar taxes paid by residents in the country or by their stable establishments defined in article 128 and this recognition supposes a reduction of the credits for analogous taxes computed by said residents in previous fiscal years or to the one that is applicable in the fiscal year in which it took place, such excesses, converted to Argentine currency at the exchange rate considered for the same purpose in relation to the taxes to the that reduce, will be subtracted from the credit corresponding to the fiscal year in which that recognition occurred. This is without prejudice to the fact that the effect of the excesses recognized to the payment of the analogous taxes of the respective countries, converted to Argentine currency at the same exchange rate, is computed to establish the analogous tax to whose income is imputed.

 

Art. 177 - The companies and sole proprietorships referred to in article 150, will attribute, to the extent that corresponds to their partners or owners, analogous taxes actually paid abroad as a result of obtaining foreign income, including paid for their stable establishments installed abroad, for their tax result from the same source.

 

Art. 178 - If the computable analogous taxes could not be compensated in the fiscal year to which they are attributable to exceed the tax of this law corresponding to the net profit of foreign source imputable to that same year, the uncompensated amount may be deducted from the tax attributable to the profits net of that source obtained in the five (5) immediate fiscal years following the aforementioned. After the last of these years, the balance not deducted may not be subject to any compensation.

 

Art. 179 - Residents in the country who are beneficiaries in other countries of special or promotional measures that imply the total or partial recovery of the analogous tax actually paid, shall reduce the credit that this generates or would have generated, to the extent of that recovery.

 

Chapter X

 

Transitory dispositions

 

Art. 180 - In the case of residents in the country that they receive from foreign States, from their political subdivisions, from social security institutions established abroad or from international organizations of which the Nation is a party, retirements, pensions, annuities or subsidies that have their origin in personal work and, before the provisions of this title have effect, they have made, totally or partially, the contributions to the funds destined for their payment, through contributions or discounts, they may deduct seventy percent (70%) of the amounts received, until the amount contributed before the aforementioned effects is recovered.

 

When before they operate the effects referred to in the previous paragraph, they would have received profits included in this article, the deduction that the authorizes will only be made until recovering the proportion of the amount contributed that corresponds to the earnings that are earned after the moment indicated above, which will be determined in the manner established in the regulation.

 

For the purposes of calculating the deduction, the contributed capital or, as the case may be, the deductible proportion, will be converted into Argentine currency at the date of payment of the gain.

 

Likewise, for the purpose of establishing the proportion referred to in the second paragraph of this article, the contributed capital shall be converted into Argentine currency on the date on which the provisions of this title begin to cause effects.

 

Art. 181 - The provisions of the fourth and fifth paragraphs of article 159 shall only be applicable to exchange differences arising from remittances of profits made by stable establishments that their holders must impute to periods closed after the time they cause effect. the provisions of this title.

 

Art. 182 - The presumption established in article 173 does not include distributed or remitted profits attributable to closed years prior to the effects of the provisions of this title.

 

( Note : In the present updated text, the words "of visible existence" have been replaced by "human", the expressions "physical person" by "human person", and "stable establishment" by "permanent establishment", by art. 79 of Law N ° 27,430 BO 29/12/2017 Effective: the day following its publication in the Official Gazette and shall take effect in accordance with the provisions of each of the Titles that comprise it See Article 86 of the Reference Law)

 

Regulatory Background

 

- Article 95, last paragraph incorporated by art. 65 of Law N ° 27,430 BO 29/12/2017. Validity: the day following its publication in the Official Gazette and will take effect in accordance with the provisions of each of the Titles that comprise it. See art. 86 of the Reference Law;

 

- Article 104, ( Note : by article 9 of Law N ° 27.346 BO 27/12/2016 it is established that, thirty-three percent (33%) of the resources provided in subsection c) of the first Paragraph of Article 104 of the Income Tax Law, text ordered in 1997 and its amendments, will be distributed directly to all the provinces according to the rates provided for in the Federal Tax Co-Participation Act, Law 23,548 and its amendments, with the necessary adjustments as a result of the incorporation of the province of Tierra del Fuego, Antarctica and the South Atlantic Islands and the Government of the Autonomous City of Buenos Aires, in the same month in which they are incorporated, with effect from January 1 2017 and up to December 31, 2017 inclusive. Validity: from its publication in the Official Gazette).

 

- Article 90, sixth paragraph repealed by art. 75 of Law N ° 27.260 BO 22/7/2016. Validity: from the day following its publication in the Official Gazette;

 

- Article 23, subparagraph a) replaced by art. 1 ° of Decree No. 394/2016 BO 23/2/2016. Validity: as of January 1, 2016, inclusive;

 

- Article 23, subsection b) replaced by art. 1 ° of Decree No. 394/2016 BO 23/2/2016. Validity: as of January 1, 2016, inclusive;

 

- Article 23, paragraph c), paragraph replaced by art. 1 ° of Decree No. 394/2016 BO 23/2/2016. Validity: as of January 1, 2016, inclusive;

 

- Article 23, ( Note : by article 1 of Decree No. 152/2015 BO 18/12/2015 increases, with respect to the income mentioned in subparagraphs a), b) and c) of Article 79 of the Law of Income Tax, text ordered in 1997 and its amendments, the special deduction established in subsection c) of this article, up to an amount equivalent to the net amount of the second installment of the Annual Supplementary Salary for the year 2015.

 

In order to obtain this net amount, the amounts of contributions corresponding to the ARGENTINE INTEGRATED INTEGRATED SYSTEM must be deducted from the gross amount of the second installment of the Supplementary Annual Salary - or, as the case may be, those corresponding to Provincial, Municipal or other funds. , to the NATIONAL INSTITUTE OF SOCIAL SERVICES FOR RETIRED AND PENSIONED, to the National Social Work Regime and to ordinary union dues. Validity: from the day of its publication in the Official Gazette);

 

- Article 23, ( Note : by article 5 of Decree N ° 152/2015 BO 18/12/2015 increases, for fiscal year 2015, with respect to the income mentioned in subparagraphs a), b) and c) of Article 79 of the Income Tax Law, text ordered in 1997 and its amendments, the deductions provided in subparagraphs a), b) and c) of this article, up to the sums established under the conditions and for the universe of taxpayers , duly set in respect of the aforementioned fiscal period, by the FEDERAL ADMINISTRATION OF PUBLIC REVENUES, an autarchic entity acting within the scope of the MINISTRY OF FINANCE AND PUBLIC FINANCES, for the purposes of the application of the lien retention regime. Validity: from the day of its publication in the Official Gazette);

 

- Article 23, ( Note : See General Resolution No. 3770/2015 of the AFIP BO 7/5/2015, by which it is established that the withholding agents reached by General Resolution No. 2,437, its amendments and complementary, for the purposes of applying the system established therein, they must observe - with regard to the remuneration and / or assets received as of January 1, 2015 , inclusive - what is provided in the reference standard. of its publication in the Official Gazette, inclusive, and will take effect from fiscal year 2015, inclusive);

 

- Article 23, ( Note : by Article 1 of Decree No. 2354/2014 BO 12/12/2014 increases, with respect to the income mentioned in subparagraphs a), b) and c) of Article 79 of the Law of Income Tax, text ordered in 1997 and its amendments, the special deduction established in subsection c) of this article, up to an amount equivalent to the net amount of the second installment of the Annual Supplementary Salary. In order to obtain the net amount, the amounts of contributions corresponding to the Integrated Pension System of Argentina must be deducted from the gross amount of the second installment of the Annual Supplementary Salary -or, if applicable, those corresponding to Provincial, Municipal or other funds- , the National Institute of Social Services for Retirees and Pensioners, the National Social Work Regime and ordinary union dues.

 

The provisions of the previous article shall have effect exclusively for the second installment of the Annual Supplementary Salary accrued in 2014 and for the subjects whose highest gross monthly remuneration, accrued between the months of July to December of the year 2014, does not exceed the sum of PESOS THIRTY AND FIVE THOUSAND ($ 35,000). Validity: from the day of its publication in the Official Gazette);

 

- Article 2, subsection 3) replaced by art. 1 ° of Law N ° 26.893 BO 23/09/2013. Validity: from its publication in the Official Gazette and will be applicable to the taxable facts that are perfected as of the aforementioned validity;

 

- Article 45, subsection k) replaced by art. 3 ° of Law N ° 26.893 BO 23/09/2013. Validity: from its publication in the Official Gazette and will be applicable to the taxable facts that are perfected as of the aforementioned validity;

 

- Article 90, sixth paragraph incorporated by virtue of the substitution provided by art. 4th of Law N ° 26.893 BO 23/09/2013. Validity: from its publication in the Official Gazette and will be applicable to the taxable facts that are perfected as of the aforementioned validity;

 

- Article 90, paragraphs replaced by art. 4th of Law N ° 26.893 BO 23/09/2013. Validity: from its publication in the Official Gazette and will be applicable to the taxable facts that are perfected as of the aforementioned validity;

 

- Article 90, paragraphs incorporated by virtue of the substitution provided by art. 4th of Law N ° 26.893 BO 23/09/2013. Validity: from its publication in the Official Gazette and will be applicable to the taxable facts that are perfected as of the aforementioned validity;

 

- Article 23, ( Note : by article 1 of Decree No. 1242/2013 BO 28/08/2013 increases, with respect to the income mentioned in subparagraphs a), b) and c) of article 79 of the Law of Income Tax, text ordered in 1997, and its amendments, the special deduction established in subsection c) of this article, up to an amount equivalent to that arising from subtracting the deductions from subsections a ) and b) of said article 23. The provisions of the aforementioned article 1 will have effects exclusively for the subjects whose highest remuneration and / or monthly gross, accrued between the months of January to August of the year 2013, does not exceed the sum of PESOS FIFTEEN THOUSAND ($ 15,000). Validity: applicable as of September 1, 2013, inclusive);

 

- Article 23, ( Note : by article 4 and 5 of Decree No. 1242/2013 BO 28/08/2013 establishes that the deductions established in subparagraphs a), b) and c) of this Article, are they will increase by TWENTY PERCENT (20%) when it comes to the profits referred to in subparagraphs a), b) and c) of Article 79 of said Law. This will have effects exclusively for the subjects whose higher remuneration and / or gross monthly, accrued between the months of January to August 2013, does not exceed the sum of TWENTY FIVE THOUSAND ($ 25,000). Validity: applicable as of September 1, 2013, inclusive);

 

- Article 23, ( Note : by article 6 of Decree No. 1242/2013 BO 28/08/2013 it is established that the deductions established in subparagraphs a), b) and c) of this Article shall be increased by a THIRTY PERCENT (30%) in the case of the profits referred to in subparagraphs a), b) and c) of Article 79 of said Law, whose beneficiaries are employed in working relationship and retirees who live in the Provinces and, if applicable, the Party referred to in Article 1 of Law No. 23,272 and its amendment. Validity: applicable as of September 1, 2013, inclusive);

 

- Article 23, ( Note : by Article 1 of Decree No. 1006/2013 BO 26/7/2013 increases, with respect to the income mentioned in subparagraphs a), b) and c) of Article 79 of the Law of Income Tax, text ordered in 1997, and its amendments, the special deduction established in subsection c) of this article, up to an amount equivalent to the net amount of the first installment of the Annual Supplementary Salary.

 

In order to obtain the net amount, the amounts of contributions corresponding to the Integrated Pension System of Argentina must be deducted from the gross amount of the first installment of the Annual Supplementary Salary -or, if applicable, those corresponding to Provincial, Municipal or other funds- , the National Institute of Social Services for Retirees and Pensioners, the National Social Work Regime and ordinary union dues.

 

The provisions of the previous article shall have effect exclusively for the first installment of the Annual Supplementary Salary accrued in 2013 and for the subjects whose highest gross monthly remuneration, accrued between the months of January to June of the year 2013, does not exceed the sum of PESOS TWENTY FIVE THOUSAND ($ 25,000). Validity: from the day of its publication in the Official Gazette. See Previous increase: art. 1 of Decree No. 2191/2012 BO 15/11/2012 );

 

- Article 23, subparagraph a) replaced by art. 1 ° of Decree No. 244/2013 BO 5/3/2013. Validity: as of March 1, 2013, inclusive;

 

- Article 23, subsection b) replaced by art. 1 ° of Decree No. 244/2013 BO 5/3/2013. Validity: as of March 1, 2013, inclusive;

 

- Article 23, subparagraph c) first paragraph replaced by art. 1 ° of Decree No. 244/2013 BO 5/3/2013. Validity: as of March 1, 2013, inclusive;

 

- Article 23, inc. a) Amount replaced by art. 2nd paragraph a) of Law N ° 26.731 BO 28/12/2011. Validity: applicable as of fiscal year 2011, inclusive;

 

- Article 23, inc. b) Amount replaced by art. 2nd paragraph a) of Law N ° 26.731 BO 28/12/2011. Validity: applicable as of fiscal year 2011, inclusive;

 

- Article 23, inc. b) pto.1, amount replaced by art. 2nd paragraph a) of Law N ° 26.731 BO 28/12/2011. Validity: applicable as of fiscal year 2011, inclusive;

 

- Article 23, inc. b) pto.2, amount replaced by art. 2nd paragraph a) of Law N ° 26.731 BO 28/12/2011. Validity: applicable as of fiscal year 2011, inclusive;

 

- Article 23, inc. b) pto.3, amount replaced by art. 2nd paragraph a) of Law N ° 26.731 BO 28/12/2011. Validity: applicable as of fiscal year 2011, inclusive;

 

- Article 23, inc. c), amount replaced by art. 2nd paragraph a) of Law N ° 26.731 BO 28/12/2011. Validity: applicable as of fiscal year 2011, inclusive;

 

- Article 23, clause c), expression "INTEGRATED SYSTEM OF RETIREMENT AND PENSIONS" replaced by the expression "Integrated Argentine Pension System" by art. 2nd paragraph b) of Law N ° 26.731 BO 28/12/2011. Validity: applicable as of fiscal year 2011, inclusive;

 

- Article 23, ( Note : by article 1 of Law N ° 26.731 BO 28/12/2011 are considered applicable, for the fiscal year 2010, the amounts foreseen in this article, which are detailed below: subsection a) Ten thousand eight hundred pesos ($ 10,800); subsection b) Ten thousand eight hundred pesos ($ 10,800); Item 1 of subsection b) Twelve thousand pesos ($ 12,000); Item 2 of subsection b) Six thousand pesos ($ 6,000); Item 3 of subsection b) Four thousand five hundred pesos ($ 4,500); subsection c) Ten thousand eight hundred pesos ($ 10,800));

 

- Article 20, paragraph l) repealed by art. 2 ° of Law N ° 26,545 BO 2/12/2009 Validity: from the day of its publication in the Official Gazette, and will take effect for fiscal years that close as of January 1, 2010, inclusive;

 

- Article 20, paragraph l), Note : by art. 1 of Law No. 26,455 BO 16/12/2008, is extended until December 31, 2009, inclusive, the suspension of the exemption established in this subsection - paragraph mentioned as 1) in the Law of reference -. Validity: from the day of its publication in the Official Gazette and will have effects with respect to the export applications for consumption that are registered in the General Directorate of Customs of the Federal Administration of Public Revenues, an autarkic entity within the scope of the Ministry of Economy and Production, from January 1, 2009, inclusive. Previous extensions : Law N ° 26.347 BO 15/1/2008; Law No. 26,180 BO 20/12/2006; Law No. 26,073 BO 10/1/2006; Law No. 25,988 BO 12/31/2004; Law No. 25,868 BO 8/1/2004;

 

- Article 23, subsection c), Amount replaced by art. 1 ° of Decree No. 1426/2008 BO 9/9/2008. Validity: from the day of its publication in the Official Gazette and will take effect from the current fiscal period, inclusive;

 

- Article 23, paragraph b), point 3, Amount replaced by art. 1 ° of Decree No. 1426/2008 BO 9/9/2008. Validity: from the day of its publication in the Official Gazette and will take effect from the current fiscal period, inclusive;

 

- Article 23, paragraph b), point 2, Amount replaced by art. 1 ° of Decree No. 1426/2008 BO 9/9/2008. Validity: from the day of its publication in the Official Gazette and will take effect from the current fiscal period, inclusive;

 

- Article 23, paragraph b), point 1, Amount replaced by art. 1 ° of Decree No. 1426/2008 BO 9/9/2008. Validity: from the day of its publication in the Official Gazette and will take effect from the current fiscal period, inclusive;

 

- Article 23, paragraph b), Amount replaced by art. 1 ° of Decree No. 1426/2008 BO 9/9/2008. Validity: from the day of its publication in the Official Gazette and will take effect from the current fiscal period, inclusive;

 

- Article 23, paragraph a), Amount replaced by art. 1 ° of Decree No. 1426/2008 BO 9/9/2008. Validity: from the day of its publication in the Official Gazette and will take effect from the current fiscal period, inclusive;

 

- Article 23, inc. b) replaced by art. 1 ° of Law N ° 26,287 BO 30/8/2007 . Applicable from fiscal year 2007, effective as of January 1, 2007;

 

- Article without number incorporated after art. 23, replaced by art. 3 ° of Law No. 26,287 BO 30/8/2007 . Applicable from fiscal year 2007, effective as of January 1, 2007;

 

- Article 23, paragraph c), paragraph replaced by art. 2 ° of Law N ° 26.287 BO 30/8/2007 . Applicable from fiscal year 2007, effective as of January 1, 2007;

 

- Article 23, subparagraph a) sum replaced by art. 1 of Decree No. 298/2007 BO 29/3/2007. Validity: the day of its publication in the Official Gazette and will have effects from the fiscal period in course to that date;

 

- Article without number incorporated after article 23, Value of the first and second sections, replaced by art. 1 of Decree No. 298/2007 BO 29/3/2007. Validity: the day of its publication in the Official Gazette and will have effects from the fiscal period in course to that date;

 

- Article 23, subparagraph b), sums replaced by art. 1 of Decree No. 298/2007 BO 29/3/2007. Validity: the day of its publication in the Official Gazette and will have effects from the fiscal period in course to that date;

 

- Article 23 replaced by art. 1 ° of Decree No. 314/2006 BO 22/3/2006. Validity: from the day of its publication;

 

- Article without number incorporated after article 23, replaced by art. 2 ° of Decree No. 314/2006 BO 22/3/2006. Validity: from the day of its publication;

 

- Note : - By Art. 76 of Law N ° 26,078 BO 12/1/2006, the following is provided: "Prorrógase during the validity of the respective taxes, or until the enactment of the Federal Co-Participation Law that establishes the Article 75 paragraph 2 of the National Constitution, whichever comes first, the distribution of the proceeds of taxes provided for in Laws Nos. 24,977, 25,067 and its amendments, the Income Tax Law (to 1997 and its amendments), 24,130, 23,966 (to 1997 and its amendments), 24,464 - article 5 -, 24,699 and amendments, 25,226 and amendments and 25,239 - article 11 -, amendment of Law No. 24,625, and extend the terms established in article 17 for five years of Law No. 25,239. ";

 

- Article 23, last paragraph incorporated by art. 1 ° of Law N ° 25.987 BO 11/1/2005. Validity: from the day of its publication in the Official Bulletin and will take effect for fiscal periods ending as of said date inclusive;

 

- Article 15, paragraphs incorporated by art. 2 ° of Law N ° 25.784 , BO 22/10/2003. - Validity: From the day of its publication in BO;

 

- Article 18, last paragraph replaced by art. 3 ° of Law N ° 25.784 , BO 22/10/2003. - Validity: From the day of its publication in BO;

 

- Article 20, paragraph w) replaced by art. 2 ° of Law N ° 26.893 BO 23/09/2013. Validity: from its publication in the Official Gazette and will be applicable to the taxable facts that are perfected as of the aforementioned validity;

 

- Article 20, paragraph l), Note : By art. 1 ° of Law N ° 25.731 BO 7/4/2003 is suspended until December 31, 2003, the exemption contemplated in this subsection - paragraph mentioned as 1) in the Reference Law -. The suspension will apply to all export refunds, including the reimbursements provided for in Law 23,018 and its amendments, and will take effect with respect to export applications for consumption that are registered with the National Customs Administration as of the date of entry into force. of the reference law;

 

- Article 81, paragraph c), first paragraph replaced by art. 65 of Law No. 25,600 BO 12/6/2002;

 

- Article 105: - Law N ° 25,558 BO 8/1/2002, art. 1º the validity of this Law is extended until December 31, 2005. Validity: as of January 1, 2002, inclusive;

 

- Article 23, section b), subsection 3), replaced by art. 1 ° of Decree No. 860/2001 BO 2/7/2001. Validity: from the current fiscal year to the date of publication of Decree 860/2001;

 

- Article 23, section c), replaced by art. 1 ° of Decree No. 860/2001 BO 2/7/2001. Validity: from the current fiscal year to the date of publication of Decree 860/2001;

 

- Article 81, third paragraph of subsection a), replaced by art. 2 ° of Decree No. 860/2001 BO 2/7/2001;

 

- Article 90, third paragraph incorporated by art. 3rd pt. e) of Decree No. 493/2001 BO 30/4/2001. Validity: from its publication. It will take effect for the current fiscal year as of the date of publication of said decree;

 

- Article 90, second paragraph incorporated by art. 3rd pt. e) of Decree No. 493/2001 BO 30/4/2001. Validity: from its publication. It will be effective for transactions whose payment is made as of the effective date of the discount. 493/2001;

 

- Article s / n incorporated after article 48, by art. 3rd pt. d) of Decree No. 493/2001 BO 30/4/2001. Validity: for the current fiscal year as of the date of publication of said decree;

 

- Article 45, inc. k) incorporated by art. 3rd pt. c) of Decree No. 493/2001 , BO 30/4/2001. Validity: from its publication. It will take effect for the current fiscal year as of the date of publication of said decree;

 

- Article 20, inc. w) replaced by art. 3rd pt. b) of Decree No. 493/2001 BO 30/4/2001. Validity: from its publication. It will take effect for the current fiscal year as of the date of publication of said decree;

 

- Article 19, paragraph replaced by art. 3rd pt. a) of Decree No. 493/2001 BO 30/4/2001. Validity: for the current fiscal year as of the date of publication of said decree;

 

- Article 2, paragraph 3) replaced by art. 7 ° of Law N ° 25.414 BO 30/3/2001;

 

- Article 20, first paragraph, inc. w) first paragraph, replaced by art. 7 ° of Law N ° 25.414 BO 30/3/2001;

 

- Article 81, paragraph a), paragraph replaced by Law No. 25.402 , Article 3, paragraph c), BO 12/1 / 2001.- Effective date: As of 12/1/2001 and will take effect from the entry into force of this law;

 

- Article 81, subparagraph a) third paragraph incorporated by Law No. 25.402 Art. 3, subsection b), BO 12/1/2001.- Validity: As of 12/1/2001 and will take effect for the debts contracted by mortgage loans granted as of January 1, 2001, inclusive;

 

Note : - By Art. 3 of Law No. 25,400 BO 10/1/2001, the following is provided: "To continue until December 31, 2005 or until the enactment of the Federal Co-Participation Law that establishes Article 75 subsection 2 of the NATIONAL CONSTITUTION, the distribution of the proceeds of taxes provided for in Laws Nos. 24,977, 25,067, 24,464, 20,628 (to 1997 and its amendments), 23,966 (to 1997 and its amendments), 24,130, 24,699, 24,919, 25,063 , 25,082 with suspension of its article 3, 25,226 and 25,239 pursuant to article 75 paragraph 3 of the NATIONAL CONSTITUTION ";

 

- Article 23 replaced by Law No. 25,239 , BO 12/31/1999, Title I, art. 1, clause j). - Validity: As of 12/31/99 and will take effect from 1/1/2000;

 

- Article 20, paragraph f), second paragraph replaced by Law No. 25,239 , Title I, art. 1, clause e). - Validity: As of 12/31/99 and will take effect for the exercises that start from that date;

 

- Article 20, subsection k) replaced by Law No. 25,239 , Title I, art. 1, subsection f). - Validity: As of 12/31/99 and will take effect for the exercises that start from that date;

 

- Article incorporated after article 23 by Law N ° 25.239 , BO 31/12/1999, Title I, art.1 °, paragraph k). - Validity: As of 12/31/99 and will take effect from 1/1/2000;

 

- Article 135 replaced by Law No. 25,239 , Title I, art. 1, clause u). - Validity: As of 12/31/99 and will take effect for the exercises that start from that date;

 

- Article 133 replaced by Law No. 25,239 , Title I, art. 1, subsection t). - Validity: As of 12/31/99 and will take effect for the exercises that start from that date;

 

- Article 81, subsection g) replaced by Law No. 25,239 , Title I, art.1 °, subsection l). - Validity: As of 12/31/99 and will take effect from 1/1/2000;

 

- Article 81, subsection h) incorporated by Law No. 25,239 , Title I, art.1 °, paragraph m). - Validity: As of 12/31/99 and will take effect from 1/1/2000;

 

- Article 90, Scale replaced by Law No. 25,239 , Title I, art. 1, subsection o). - Validity: As of 12/31/99 and took effect from 1/1/2000;

 

- Article 105: Law No. 25,239, BO 31/12/1999, Title XII, Article 14, extends until December 31, 2001, the validity of this law;

 

- Article 8, replaced by Law No. 25,239 , BO 12/31/1999, Title I, art. 1, clause a). - Validity: As of 12/31/99 and will take effect for the exercises that start from that date;

 

- Article 15, replaced by Law No. 25,239 , Title I, art. 1, clause c). - Validity: As of 12/31/99 and will take effect for the exercises that start from that date;

 

- Article s / n incorporated following art. 15 replaced by Law No. 25,239 , Title I, art. 1, clause d). - Validity: As of 12/31/99 and will take effect for the exercises that start from that date;

 

- Article 20, first paragraph, inc. w), second paragraph incorporated by Law N ° 25,057 BO 6/1/1999, art.1 °. - Validity: As of 6/1/99, and will take effect from the validity of Chapter III of Law No. 23,696;

 

- Article s / n incorporated following art. 118 by Law No. 25,063 , Title III, art. 4, subsection z) d '). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, fiscal year in course to that date;

 

- Article 90, Scale replaced by Law No. 25,063 , BO 30/12/1998, Title III, art.4, subsection w);

 

- Article 93, subparagraph c), replaced by Law No. 25,063 , BO 30/12/1998, Title III, art.4, clause z) a '). - Validity: As of 12/31/98;

 

- Article 81, paragraph a), paragraph incorporated by Law N ° 25,063 , BO 30/12/1998, Title III, art.4, clause s). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, fiscal year in course to that date;

 

- Article 70, subsection c), Rate established by Law No. 25,063 , Title III, art. 4, subsection q). - Validity: As of 12/31/98;

 

- Article 71, Rate established by Law N ° 25,063 , Title III, art.4 °, paragraph q). - Validity: As of 12/31/98;

 

- Article 49, subsection s / n incorporated after subsection d) by Law No. 25,063 , Title III, art.4, subsection n). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, fiscal year in course to that date;

 

- Article 46 replaced by Law No. 25,063 , Title III, art.4, paragraph m). - Validity: As of 12/31/98;

 

- Article 37, rate established by Law N ° 25,063 , Title III, art.4 °, subsection k). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, fiscal year in course to that date;

 

- Article 20, subsection incorporated after subsection h) by Law No. 25,063 BO 30/12/1998, Title III, art.4, subsection g). - Validity: As of 1/1/99;

 

- Article 19, paragraph s incorporated by Law N ° 25,063 , Title III, art.4, clause e). - Validity: As of 12/31/98;

 

- Article 97 a) a) replaced by Law N ° 25,063 BO 30/12/1998, Title III, art.4 °, subsection z) c '). - Validity: As of 12/31/98;

 

- Article 81, inc.a) last paragraph incorporated by Law N ° 25,063 BO 30/12/1998, Title III, art.4, clause s). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, fiscal year in course to that date;

 

- Article 81, paragraph incorporated by Law No. 25,063 , BO 30/12/1998, Title III, art.4, subsection s). - Validity: As of its publication in the Official Gazette and will take effect for the exercises that close after the entry into force of this law or, as the case may be, fiscal year in course to that date;

 

- Law N ° 24.919 BO 31/12/1997, art. 1, extends until March 31 of the year 2000 the validity of this law;

 

- Article 104, (Expression "December 31, 1998" replaced by "December 31, 1999", by Law No. 24.919 , Article 2 (BO 12/31/97) .- Term: From 1 January 1998, inclusive;

 

- Article 23, ( Note : See RG No. 4.166 relating to the Optional Regulatory Scheme for the fiscal period 1995.);

Article 23, (Nota: Ver R.G. N° 4.166 relativa al Régimen Opcional de Reliquidación del período fiscal 1995.);