The Senate approved the amendments to the Wealth Tax, by which the non-taxable minimum is increased to ARS 6,000,000. In the case of residential real estate (the owner must live there on a day-to-day basis), such assets will be exempted from taxation if their value is equal to or less than ARS 30,000,000.
[ARS 1 = EUR 0.0084 | ARS 1 = USD 0.00965 | ARS 1 = GBP 0.0070 | ARS 1 = BRL 0.0535 (Source: www.xe.com)]
Likewise, the Wealth Tax scales are modified by raising the rate to 1.50 percent for assets exceeding ARS 100 million and to 1.75 percent for assets over ARS 300 million.2 Effective for FY 2021 and after, the rate table will be as follows:
Total value of assets located in Argentina that exceed the non-taxable minimum | | | |
Above the amount of ARS | To ARS | Will pay ARS | Plus % | Upon the amount that exceeds the % |
0 | 3,000,000, inclusive | 0 | 0.50% | 0 |
3,000,000 | 6,500,000, inclusive | 15,000 | 0.75% | 3,000,000 |
6,500,000 | 18,000,000, inclusive | 41,250 | 1.00% | 6,500,000 |
18,000,000 | 100,000,000, inclusive | 156,250 | 1.25% | 18,000,000 |
100,000,000 | 300,000,000, inclusive | 1,181,250 | 1.50% | 100,000,000 |
300,000,000 | Onwards | 4,181,250 | 1.75% | 300,000,000 |
Source: KPMG in Argentina
Regarding assets located abroad, the following rate table is applicable beginning in FY 2021 (note that the rate of tax is determined with reference to the value of worldwide assets, but is applied only to the value of assets located outside Argentina):
Total value of worldwide assets (Argentina+abroad) | Will pay % |
Above the amount of ARS | To ARS | |
0 | 3,000,000 | 0.70% |
3,000,000 | 6,500,000 | 1.20% |
6,500,000 | 18,000,000 | 1.80% |
18,000,000 | Onwards | 2.25% |
Source: KPMG in Argentina