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ARCA is more flexible, the UIF isn't: the fine print that's confusing the real estate market - La Nacion Propiedades
Source:
www.lanacion.com.ar
March 31, 2026
Although the tax scheme appeared to benefit buying and selling transactions, there is confusion about its applications
By Manuela Viñales
While the Regime seeks to restore Argentinians' freedom to use their money without having to explain themselves to anyone, they still have to justify its origin.Image by bearfotos on Freepik
On February 8, 2026, the regulatory decree of the Simplified Sworn Statement Regime of the Income Tax, known as the “Tax Innocence Regime” , was published in the Official Gazette , along with the complementary regulations of ARCA.
Aimed at individuals and undivided estates, the scheme seeks tax simplification . This purpose is reinforced by the tax authority's statement, in which they declare that the objective is "to leave behind a persecutory regime" and " to give Argentinians back the freedom to use their money without having to explain themselves to anyone . "
Notaries continue to request funds or proof of the source of funds for real estate transactions.Shutterstock
Along these lines, one of the key points of the law is that the digital certificate of adherence to the Simplified Income Tax Regime " will be considered a favorable precedent before financial institutions and obligated parties ," according to ARCA. In other words, it functions as a sworn statement of income tax without detailing net worth at the beginning or end of the period, nor the amount spent.
Furthermore, according to the consulting firm EY, another key aspect of the law, which is retroactive to the 2025 tax year, is the exemption of the taxpayer from the obligation to report changes in net worth for the period.
So, what are the benefits of joining the Simplified Income Tax Regime and who can do so?
Furthermore, the specialist explains that if the sworn statement is submitted on time and in the correct manner , it produces a release effect from payment for the base tax period and a presumption of accuracy , the latter extending to the sworn statements of Income and VAT for non-prescribed periods.
“If the tax authorities do not find significant discrepancies in the tax base period for profits, a tax bottleneck occurs , blocking the review of previous tax periods, that tax, and VAT , ” the tax expert points out.
However, this benefit is not permanent and is subject to a series of reviews. The base year, which serves as the basis for the presumption of accuracy, is renewed annually. That is, if any irregularity is identified in the 2027 tax return— for example, a discrepancy of 15% or more, or the use of fraudulent invoices that are not rectified—the tax authorities can challenge the base period and review the current and non-prescribed periods.
The option is carried out through ARCA and, once carried out, a registration certificate can be issued so that it can be presented to different organizations.
Some buyers understood that the membership eliminated the need to justify the origin of the funds in the purchase of a property.
However, in practice, notaries continue to require documentation to assess the origin and legality of the funds.
The reason is that the Financial Information Unit (UIF), the agency responsible for analyzing, processing, and disseminating financial intelligence to prevent money laundering, has not updated its existing regulations. “That’s why notaries continue to follow the same UIF rules and the same thresholds for real estate that existed before,” Domínguez explains.
The real estate market, one of the sectors most exposed to the regime. Gentleness
In this context, doubts and complaints began to arise, especially on social media, where users reported that they were asked for the origin of the funds despite being part of the new system.
In this context, industry experts agree that there is a contradiction between what the simplified regime proposes and what the UIF requires .
“ The simplified regime would seem to allow almost everything, but in reality, the only thing it allows—or forgives—is the crime of tax evasion in some cases and in small amounts ,” explain Magdalena Tato and Julián González Mantelli, president of the College of Notaries of the city of Buenos Aires and legal-notarial advisor, respectively, and they add that there is a great contradiction between the two diatribes, both that of simplification and that of money laundering prevention.
Notaries continue to request information on the source of funds for real estate transactions, "because Resolution 242 of 2023 from the UIF is in effect, where through a risk-based approach we have to analyze and qualify both clients and transactions ," they argue, explaining that the notary has the responsibility to check if there are indications that the funds used may have originated from an illicit activity.
If the controls are not followed, the repercussions for notaries could be “enormous .” Experts explain two scenarios:
Although the contradiction is clear, the College of Notaries of the City downplays its impact on buying and selling, as they do not consider it a factor that stops real estate transactions.
Along these lines, they explain that property purchases are not usually hindered by issues related to the origins of the funds, since people who decide to carry out a real estate transaction usually " have everything in order or try to tidy it up through their accountant or valid instrumental figures, such as mutuals or donations of money."
Domínguez agrees with this premise and adds that, although there are people considering joining the simplified regime, he does not see a massive phenomenon like what happened with money laundering in 2024.
“ The UIF must adapt its regulations based on the international standards defined by the Financial Action Task Force (FATF), since it is the international body that sets the standard,” explain Tato and González Mantelli.
In this sense, Domínguez exemplifies, if the UIF raises the thresholds - which determine the maximum amount before having to declare the origin of the funds - to US$100,000 for cash deposits in banks, there is a risk that the FATF will object and determine that Argentina has relaxed too much.
“ A broad relaxation of the UIF could include the country on the so-called ‘grey list,’ which would affect its access to international capital markets ,” Domínguez concludes, although he does not rule out the possibility that the agency will move forward with a partial relaxation in the future.
www.buysellba.com
Source:
ARCA flexibiliza, la UIF no: la letra chica que desconcierta al mercado inmobiliario
Aunque el esquema impositivo parecía beneficiar a las operaciones de compraventa hay confusión sobre sus aplicaciones
www.lanacion.com.ar
March 31, 2026
Although the tax scheme appeared to benefit buying and selling transactions, there is confusion about its applications
By Manuela Viñales
While the Regime seeks to restore Argentinians' freedom to use their money without having to explain themselves to anyone, they still have to justify its origin.Image by bearfotos on Freepik
On February 8, 2026, the regulatory decree of the Simplified Sworn Statement Regime of the Income Tax, known as the “Tax Innocence Regime” , was published in the Official Gazette , along with the complementary regulations of ARCA.
Aimed at individuals and undivided estates, the scheme seeks tax simplification . This purpose is reinforced by the tax authority's statement, in which they declare that the objective is "to leave behind a persecutory regime" and " to give Argentinians back the freedom to use their money without having to explain themselves to anyone . "
Notaries continue to request funds or proof of the source of funds for real estate transactions.Shutterstock
Along these lines, one of the key points of the law is that the digital certificate of adherence to the Simplified Income Tax Regime " will be considered a favorable precedent before financial institutions and obligated parties ," according to ARCA. In other words, it functions as a sworn statement of income tax without detailing net worth at the beginning or end of the period, nor the amount spent.
Furthermore, according to the consulting firm EY, another key aspect of the law, which is retroactive to the 2025 tax year, is the exemption of the taxpayer from the obligation to report changes in net worth for the period.
So, what are the benefits of joining the Simplified Income Tax Regime and who can do so?
The benefits
The scheme is becoming an attractive option for many investors. As previously mentioned, it's a way to file the income tax return " without detailing net worth at the beginning or end of the period, nor the amount spent. Instead, income, expenses, deductions, withholdings, and tax collections are reported ," explains tax expert Sebastián Domínguez, head of the firm SDC Asesores Tributarios.Furthermore, the specialist explains that if the sworn statement is submitted on time and in the correct manner , it produces a release effect from payment for the base tax period and a presumption of accuracy , the latter extending to the sworn statements of Income and VAT for non-prescribed periods.
“If the tax authorities do not find significant discrepancies in the tax base period for profits, a tax bottleneck occurs , blocking the review of previous tax periods, that tax, and VAT , ” the tax expert points out.
However, this benefit is not permanent and is subject to a series of reviews. The base year, which serves as the basis for the presumption of accuracy, is renewed annually. That is, if any irregularity is identified in the 2027 tax return— for example, a discrepancy of 15% or more, or the use of fraudulent invoices that are not rectified—the tax authorities can challenge the base period and review the current and non-prescribed periods.
Who can join the simplified regime?
The Simplified Income Tax Regime is an optional regime that can be chosen by taxpayers registered for Income Tax who meet certain parameters in the three previous tax periods:- Total revenue of up to $1 billion
- Total assets of up to $10 billion
- Not to meet the status of a Large National Taxpayer
- Nor does it have to have a CUIT with limited status
The option is carried out through ARCA and, once carried out, a registration certificate can be issued so that it can be presented to different organizations.
The impact on the real estate market
The implementation of the regime, which seemed to be beneficial for the real estate market, generated disparate interpretations.Some buyers understood that the membership eliminated the need to justify the origin of the funds in the purchase of a property.
However, in practice, notaries continue to require documentation to assess the origin and legality of the funds.
The reason is that the Financial Information Unit (UIF), the agency responsible for analyzing, processing, and disseminating financial intelligence to prevent money laundering, has not updated its existing regulations. “That’s why notaries continue to follow the same UIF rules and the same thresholds for real estate that existed before,” Domínguez explains.
The real estate market, one of the sectors most exposed to the regime. Gentleness
In this context, doubts and complaints began to arise, especially on social media, where users reported that they were asked for the origin of the funds despite being part of the new system.
The contradiction: ARCA vs UIF
In February of this year, the Financial Information Unit (UIF), together with the Central Bank, issued a statement demonstrating its objective of moving towards greater flexibility. However, this was not reflected in its current regulations. Since the change was not implemented, the obligated entities—the bank and notaries—must continue with the usual controls.In this context, industry experts agree that there is a contradiction between what the simplified regime proposes and what the UIF requires .
“ The simplified regime would seem to allow almost everything, but in reality, the only thing it allows—or forgives—is the crime of tax evasion in some cases and in small amounts ,” explain Magdalena Tato and Julián González Mantelli, president of the College of Notaries of the city of Buenos Aires and legal-notarial advisor, respectively, and they add that there is a great contradiction between the two diatribes, both that of simplification and that of money laundering prevention.
Notaries continue to request information on the source of funds for real estate transactions, "because Resolution 242 of 2023 from the UIF is in effect, where through a risk-based approach we have to analyze and qualify both clients and transactions ," they argue, explaining that the notary has the responsibility to check if there are indications that the funds used may have originated from an illicit activity.
If the controls are not followed, the repercussions for notaries could be “enormous .” Experts explain two scenarios:
- The simplest consequence is multimillion-dollar fines levied on the professional.
- If it is determined that the transaction involved money laundering, the notary could face criminal penalties. "We are talking about imprisonment for being considered an accomplice."
Although the contradiction is clear, the College of Notaries of the City downplays its impact on buying and selling, as they do not consider it a factor that stops real estate transactions.
Along these lines, they explain that property purchases are not usually hindered by issues related to the origins of the funds, since people who decide to carry out a real estate transaction usually " have everything in order or try to tidy it up through their accountant or valid instrumental figures, such as mutuals or donations of money."
Domínguez agrees with this premise and adds that, although there are people considering joining the simplified regime, he does not see a massive phenomenon like what happened with money laundering in 2024.
Can the UIF rules change?
The solution would seem to be to align the UIF's regulations with tax regulations. However, it's not that simple.“ The UIF must adapt its regulations based on the international standards defined by the Financial Action Task Force (FATF), since it is the international body that sets the standard,” explain Tato and González Mantelli.
In this sense, Domínguez exemplifies, if the UIF raises the thresholds - which determine the maximum amount before having to declare the origin of the funds - to US$100,000 for cash deposits in banks, there is a risk that the FATF will object and determine that Argentina has relaxed too much.
“ A broad relaxation of the UIF could include the country on the so-called ‘grey list,’ which would affect its access to international capital markets ,” Domínguez concludes, although he does not rule out the possibility that the agency will move forward with a partial relaxation in the future.
www.buysellba.com
