Taxes
Argentina — Tax: Tax Residency
Argentina does not use a simple 183-day test. Foreign individuals residing in Argentina for non-work purposes become tax residents after 12 months of presence (effective from the 13th month). Foreign workers assigned to Argentina become residents once the assignment exceeds 5 years, or immediately if assigned to work indefinitely. Argentine nationals living abroad keep tax residency for their first 13 months abroad, losing it on the 14th month (or sooner if they acquire permanent residence elsewhere).
Why this matters
Argentina taxes residents on worldwide income but non-residents/foreign beneficiaries only on Argentine-source income, so the precise month at which someone crosses into resident status has a large effect on tax exposure -- and it is a 12-13 month rule, not the 183-day rule used in many other countries.
Key facts
- Foreign individuals in Argentina for non-work reasons become tax residents after 12 months of presence, effective as of the 13th month -- not a same-year 183-day count.
- Foreign workers on assignment become residents once continuous work exceeds 5 years; those working under 6 months per year are classified as 'foreign beneficiaries' taxed only on Argentine-source income.
- Argentine nationals moving abroad retain tax residency for 13 months, losing it on day one of the 14th month abroad or upon obtaining permanent foreign residency, whichever comes first.
- Once resident, an individual is taxed on worldwide income (Impuesto a las Ganancias); non-residents/foreign beneficiaries are taxed only on Argentine-source income.
Steps
- Determining Tax Residency — You should consult with a tax professional or the Argentine tax authorities to determine your tax residency status.
- Declaring Tax Residency — If you're considered a tax resident, you'll need to declare your tax residency to the Argentine tax authorities and obtain a tax identification number (CUIT).
Costs
- Tax ID (CUIT) application: varies, possibly around ARS 200-500 (approximately USD 5-10) per year
- Tax declaration and compliance: varies, possibly around 1-3% of taxable income
Timelines
- Tax residency determination: typically a few weeks to a few months
- Obtaining tax ID (CUIT): typically a few weeks
Required documents
- Valid passport
- Proof of income or employment
- Proof of address in Argentina
Common mistakes
- Assuming Argentina uses a 183-day-per-calendar-year test like many other countries -- it actually uses a 12-month continuous-presence rule (resident from the 13th month).
- Not obtaining a CUIT and registering with AFIP once resident status is triggered.
- Assuming residency status is purely about days present and ignoring the separate work-assignment (5-year) and foreign-beneficiary (under 6 months/year) rules.