Regulation of the Tax Innocence Law
On February 9, 2026, Decree 93/2026 and General Resolution ARCA 5820/2026 were published in the Official Gazette. Both regulations govern various articles of Tax Innocence Law No. 27.799 and define fundamental concepts for the application of the new regulatory framework ("Regulations").
Below, we summarize the most relevant points:
1. Simplified income tax declaration regime ("Regime")
The Regulations establish that this Regime will apply to tax declarations corresponding to the fiscal year 2025. Taxpayers who opt for this regime must confirm their participation annually.
The access requirements include, among others:
- Income limit of $1,000,000,000 and net worth limit of $10,000,000,000, considered individually between the immediately preceding period to the exercise of the option and each of the two immediately preceding periods;
- Not having been considered a Major National Taxpayer during the immediately preceding period to the exercise of the option and the two immediately preceding tax periods;
- Channel financial transactions through means authorized by the Central Bank of the Republic of Argentina and the National Securities Commission.
The payment of the declaration amount must be in full or through installment payment plans to enjoy the extinguishing effect, and the tax authorities must not detect any significant discrepancy in the declaration. This significant discrepancy occurs when 15% of the declared income is lower than reality or when the amount of the difference exceeds the objective condition for punishability for the crime of simple evasion ($100,000,000).
If the benefit of the extinguishing effect of the payment is lost, the presumption of accuracy of the declarations will also cease, and the tax authorities will be authorized to determine the periods prior to any inconsistencies that are not time-barred.
To adhere to this regime, taxpayers must exercise the option through the service called "Records System, option "Simplified PH Income" on the ARCA website before the deadline for filing the income tax declaration (from June 11 to 15, 2026, according to the CUIT extinction). The intention to remain in the regime must be confirmed annually through the same website.
Taxpayers who have adhered to the previous simplified system provided for in General Resolution ARCA 5704/2025 must validate the option exercised to be covered by the Regime.
2. Reductions of statute of limitations
2. Reductions of statute of limitations
The Regulation defines "full payment" as the complete payment of the declared amount or adherence to an installment payment plan. Once this requirement is met, the following reductions of statute of limitations apply:
Concept | Previous period | New term |
Social Security (Law 23.660) | 10 years | 3 years |
Health insurance (Law 23.661) | 10 years | 5 years |
Social Security (Law 14,236) | 10 years | 5 years |
Tax Procedure (Law 11,683) | 5 years | 3 years |
To maintain these reduced terms for taxes regulated by Law 11.683 and Law 23.660, the Tax Authority must not verify:
A) Taxes regulated by Law 11,683:
- An increase in the tax balance in their favor, a reduction in the tax loss or balances favoring the taxpayer equivalent to 15% of the declared amount,
- A tax difference equivalent to the objective condition of impunity for the crime of simple evasion ($100,000,000), or
- When the use of false invoices or documents has been detected.
B) Contributions to social security
- An increase in their favor regarding contributions, payments, or other social security obligations that exceeds 15% of the declared amount,
- A difference between the declared and paid amounts in contributions, payments, and other social security obligations, as applicable, and that determined by the Tax Administration that exceeds the amount of the objective condition of impunity for the offense of simple evasion of social security resources ($7,000,000), or
- Use of false documentation.
3. Application of updated amounts for penalties for formal obligations
According to the principles of tax criminal law, the Regulations clarify the validity of the new amounts for penalties for formal infractions, establishing that in the case of:
- Non-compliance prior to January 2, 2026: Penalties will be imposed according to the amounts in force at the time of the infraction.
- Non-compliance after January 2, 2026: the new updated amounts provided in Law 27.799 will apply.
Article written by the Tax Department of ECIJA Argentina.
