Argentina: Non-taxable income of employees; implications for payroll systems

An increase in the amount of non-taxable income allowed employees could affect employer payroll systems.

Implications for payroll systems

The amount of non-taxable income allowed employees has been increased, and as a result, this could affect employer payroll systems.

Decreto 620/2021 (23 September 2021) increases the amount of non-taxable income for employees to ARS 175,000 per month and establishes special rules for employees with monthly salaries up to ARS 203,000.

Decreto 620/2021 updates the amounts of non-taxable income as previously established by Ley No. 27,617 (21 April 2021) and reflects significant changes with implications with regard to individual taxation (including registered employees and retirees). 

KPMG observation

These tax changes with regard to registered employees may have implications for employer payroll systems. Prudent employers, therefore, would consider conducting a payroll review before the end of the year.

For more information, contact a KPMG tax professional in Argentina:

Hernán Caire | +54 (11) 431 65737 |

Andres Tellado Canas | +54 (11) 431 65792 |


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