Real Estate Taxes in Argentina
If you are present in Argentina for more than six months (180 days) in a calendar year, you are considered an Argentine resident for tax purposes. Otherwise, you are regarded as a non-resident.
A transfer tax of 1.5% is charged on the sale of Argentine real estate, and is payable by the seller. (This charge does not apply to a resident selling his main dwelling if he commits to buying another property within 12 months.) The transfer of real estate is also subject to a provincial stamp tax. The rate varies between 1% and 4%, depending on the jurisdiction. In some jurisdictions, the transfer of standard or inexpensive housing for permanent family dwellings is exempt from this tax. Rental contracts are also subject to stamp duty at rates varying between 0.5% and 2.5%. Stamp tax has been abolished in Buenos Aires city for the purchase of the first residence whether the owner is resident or not.
Outside of Buenes Aires (which is free of property tax), these charges are levied by the provinces and are based on the assessed value of the property. Rates vary from one jurisdiction to another. For example, the levy on a 3,300-square-foot house on a 5,600-square-foot lot in the northern suburb of Olivos amounts to about $500 per year (in five payments of $100).
Rental Income Tax
As a resident of Argentina, any income earned through renting your property is considered part of your normal taxable income, and taxed at a rate between 10% and 35% depending on the declared income. As a non-resident, there is a withholding tax of 21% on the gross annual rent. In the case where the tenant is responsible for paying tax, the percentage is raised to approximately 26.5%. If you have a vacation property in Argentina —that is, one that is solely used by your family and not rented to anyone else during the year —the estimated rental value is considered part of your annual taxable income.
There is a provincial tax levied on income derived from rental properties. However, this only applies if you exceed the maximum number of rented housing units in your jurisdiction. For example, in the province of Buenos Aires this is five, in Buenos Aires city, two. The rate levied on the excess amount ranges between 3% and 5%, depending on the jurisdiction.
Capital Gains Tax
As an individual, you will not be liable for capital gains tax on the sale of your property. However, depending on your situation, the income earned from the sale may be subject to regular income tax.
As a resident, any income earned through renting your property will be considered as part of your normal taxable income, at a rate of 35%. As a non-resident, there is a withholding tax of 21% on the gross annual rent. In the case where the tenant is responsible for paying tax, the percentage is raised to approximately 26.5%.