ARCA made progress in implementing the Simplified Income Tax Regime, a new tax declaration and payment scheme that introduces changes in the way of tax compliance and enables a system based on pre-loaded information and focused controls.
It is a new compliance scheme that simplifies tax administration and redefines the logic of tax control, without being a tax amnesty or a money laundering program. The main aspects of the scheme are outlined below:
What is it?
The Customs Revenue and Control Agency (ARCA) has enabled enrollment in the Simplified Income Tax Regime. This new way of declaring and paying taxes is designed for those who comply with their obligations. The central idea is simple: fewer procedures and clear rules so you know exactly what to expect.
It's not a whitewash or an amnesty. It's a paradigm shift: the traditional presumption of guilt for tax evasion is being abandoned. Now you're innocent until proven guilty by ARCA.
What exactly changes?
Now ARCA predetermines your tax liability and provides the information it has about you from your tax return (you have the option to edit it and/or add information if you believe there is an error or if it is necessary), focusing only on your invoices and deductible expenses. In this way, with the Simplified Income Tax Regime, the agency no longer considers your personal expenses or changes in net worth.
Who can join?
Individuals (and undivided estates) who meet these requirements simultaneously may join:
- Be a resident in the country
- Being registered for income tax
- Having income and assets within the established limits
- Not being considered a major contributor by ARCA
- Not having a limited or observed CUIT
Income and wealth limits
Those whose annual revenues exceed $1.000 billion (net of VAT). It is important to note that all income for the year is added together —salaries, rents, fees, dividends— regardless of whether or not income tax is paid.
Taxpayers with total assets exceeding $10.000 billion will also be ineligible for the schemeAll assets, both domestic and foreign, will be taken into account: properties, cars, investments, savings.
ImportantARCA will verify these amounts for the three years prior to the chosen period, but will not accumulate amounts between years. Each year is reviewed separately.
How to adhere?
The process is done in three steps and is 100% online:
- You access the ARCA website with your tax ID.
- You're looking for "Registration System".
- You click on "Opt" within **»PH Simplified Profits».++
The option can be exercised from the first business day of the tax period for which the option is exercised, and until the general due date for filing the tax return.
Benefits of the Simplified Regime
If you submit the simplified sworn statement and pay on time, two main effects occur:
Release effect of the payment in relation to the tax period for which the option is exercised (base tax period).
Presumption of accuracy of sworn statements of VAT and profits for non-prescribed tax periods.
The advantages, explained without technical jargon
Aduana News is the first Argentine customs newspaper to launch its digital version. With 20 years of experience, its publications and initiatives aim to provide the most relevant knowledge on customs issues in order to contribute to safe trade in the region.
