Argentina: Tax reform published in the Official Gazette
The Argentine government has, by its publication, on 23 September 2013, in the Official Gazette under Law No. 26.893, formally approved the new tax reform with immediate effect.
This is further to our Taxflashes LT13069, dated 3 September 2013, and LT13074, dated 16 September 2013.
The new legislation includes the following details that impact Clearstream Banking1 customers.
Capital Gains Tax
A 15% Capital Gains Tax (CGT) is applicable on Argentine-sourced gains from the sale or transfer of shares, bonds and other securities with or without public offer and quotation on any exchange market.
Non-resident beneficial owners can choose between tax rates of 13.5% on the gross amount of the payment or 15% on the net income.
When a transaction is performed between two non-residents, the buyer of the securities will be considered as the tax payer.
Exemptions
According to Law No. 23.576, exemptions apply to Argentine corporate bonds and government securities with public offer.
Law No. 24.441 grants an exemption to financial trust publicly offered securities.
Dividend Tax
A 10% withholding tax is applicable to dividends distributions.
This rate is in addition to the 35% withholding tax on the dividend distribution’s portion that exceeds the taxable income.
Further information
The local tax authorities have not yet released guidelines or details of practical procedures. We continue to monitor the situation and will provide further information as it becomes available.
For further information, customers may contact the Clearstream Banking Tax Help Desk on:
| Luxembourg | Frankfurt | |
| Email: | tax@clearstream.com | tax@clearstream.com |
| Telephone: | +352-243-32835 | +49-(0) 69-2 11-1 3821 |
| Fax: | +352-243-632835 | +49-(0) 69-2 11-61 3821 |
or Clearstream Banking Customer Service or their Relationship Officer.
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1. Clearstream Banking refers collectively to Clearstream Banking AG, registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany and registered in Register B of the Amtsgericht Frankfurt am Main, Germany under number HRB 7500 (CBF) and Clearstream Banking S.A., registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Register of Commerce and Companies under number B-9248 (CBL).
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