July 31, 2023
Argentine Tax Authority establishes a new corporate income tax prepayment
On 21 July 2023, the Argentine Tax Authority (AFIP) published General Resolution No. 5391/2023 (the Resolution) establishing a one-time corporate income tax prepayment for companies that have obtained extraordinary income derived from the general context.
General Resolution No. 5391
The Resolution establishes that the "income tax prepayment" would apply to companies that meet the following requirements:
The Resolution excludes from the "income tax prepayment" entities that obtained an income tax exemption certificate valid for fiscal year 2022 and fiscal year 2023.
For purposes of determining whether the above thresholds are met, the Resolution clarifies which tax years taxpayers must take into account:
The amount of the income tax prepayment is determined by applying 15% on the net taxable income of the previous fiscal period, without considering the deduction of accumulated tax losses.
The income tax prepayment will be creditable against the corporate income tax liability determined in the following fiscal years:
The income tax prepayment is payable in three equal and consecutive monthly installments and the due dates will depend on the month of the year-end, starting on 22 August 2023.
For additional information with respect to this Alert, please contact the following:
Pistrelli, Henry Martin & Asociados S.R.L., Buenos Aires
Ernst & Young LLP (United States), Latin American Business Center, New York
Ernst & Young LLP (United Kingdom), Latin American Business Center, London
Ernst & Young Tax Co., Latin American Business Center, Japan & Asia Pacific
Published by NTD's Tax Technical Knowledge Services group; Carolyn Wright, legal editor
1 AR refers to Argentinian pesos.