Taxes between Argentina and USA
Taxes Between Argentina and the United States: What You Must Know
Taxes Between the United States and Argentina – What U.S. Citizens Must Know
If you are a U.S. citizen, investor, or business owner with assets or income in Argentina, understanding how taxation works between both countries is essential. Cross-border tax mistakes often cost more than proper planning.
Unlike many jurisdictions, Argentina and the United States do not have a full Double Tax Treaty. Because of that, income can face taxation in both countries unless you structure your affairs correctly from the start.
Instead of reacting after a problem appears, smart taxpayers coordinate compliance in advance. As a result, they reduce exposure and avoid unnecessary penalties.
How the United States Taxes Income Abroad
The United States taxes based on citizenship, not residence. Therefore, Americans must report worldwide income to the IRS even when they live full-time in Argentina.
For example, U.S. taxpayers must declare:
• Argentine salaries and consulting fees
• Rental income from Argentine real estate
• Profits from Argentine companies
• Capital gains on Argentine property sales
• Dividends from local corporations
In addition, Americans must file FBAR (FinCEN 114) and possibly FATCA Form 8938 when they hold foreign bank accounts, trusts, or companies in Argentina. Failure to file triggers severe U.S. penalties.
How Argentina Taxes U.S. Persons
Argentina applies a residency-based tax system. Consequently, residents pay tax on worldwide income, while non-residents pay tax only on Argentine-source income.
Once a person becomes an Argentine tax resident—usually after spending more than 12 months in the country or obtaining permanent residence—Argentina taxes:
• Employment income
• Business profits
• Rental income
• Interest and dividends
• Capital gains
Moreover, Argentina also imposes Bienes Personales (Wealth Tax) on assets located in Argentina and, in many cases, on worldwide assets of residents. This tax often surprises U.S. investors who already report assets to the IRS.
The Risk of Double Taxation
Because no full treaty exists, the same income may face tax twice. However, careful planning limits that exposure.
Although the U.S. allows Foreign Tax Credits, credits do not remove reporting duties. Likewise, Argentine deductions do not replace U.S. filings. Therefore, taxpayers must coordinate both systems.
For example, a U.S. citizen renting property in Buenos Aires pays Argentine income tax first. Then the same income must appear on the U.S. return, with credits applied later. Without coordination, taxpayers often overpay.
Reporting Assets in Argentina
Holding assets in Argentina triggers obligations in both countries. As a result, transparency matters.
U.S. citizens must disclose:
• Argentine bank accounts
• Argentine companies and partnerships
• Trusts and foundations
• Real estate holdings
• Investment accounts
At the same time, Argentina requires reporting through AFIP, including wealth tax declarations and local income filings. When taxpayers skip one side, authorities impose penalties, interest, and audits.
Estate and Inheritance Planning for U.S. Persons in Argentina
Taxes do not end with income. Estate planning also plays a major role.
Argentina applies forced-heirship rules, probate procedures, and asset registration requirements. Meanwhile, the United States taxes estates based on citizenship. Therefore, families must structure ownership, wills, and companies carefully.
Without planning, heirs face frozen assets, cross-border probate delays, and unnecessary tax exposure. With proper structuring, however, families protect both compliance and wealth.
Contact LIMERES
To receive personalized guidance on U.S.–Argentina taxation and asset structuring, contact LIMERES:
📲 Argentina: https://wa.me/+5491141620021
📲 USA: https://wa.me/+19257918555
🌐 Visit: https://www.limeres.com
Smart Coordination Between Argentina and the U.S.
The goal is not tax avoidance. Instead, the objective is legal coordination and compliance.
Through correct residency planning, entity structuring, timing of income, and asset organization, taxpayers reduce risk and improve efficiency. Consequently, they protect investments in Argentina while staying compliant with U.S. law.
If you hold property, businesses, or family interests in Argentina while maintaining U.S. connections, professional guidance saves money and prevents future disputes.