Doing Business in Argentina
A practical guide for foreign investors, and their lawyers and accountants abroad, on structuring and registering a company in Argentina.
Looking for the practical route rather than the legal detail? If you're an investor deciding whether to set up in Argentina, start with Start a Company in Argentina — the steps, the realistic timeline, what it costs, and who does what. This page is the reference version, written for investors who want the underlying rules and for the lawyers and accountants advising them.
Portal Societario is an Argentine law firm specializing in corporate and registry law. We regularly work with non-resident individuals and foreign companies setting up operations in Argentina, and with the lawyers, accountants, and corporate service providers who represent them. This page summarizes how the process generally works. Every case is different, so treat it as a starting point for a conversation, not a substitute for tailored advice.
Choosing a Legal Structure
Argentine law offers several vehicles for a foreign investor to operate locally. The table below compares the ones we work with most often.
| Entity | Min. Shareholders | Minimum Capital | Resident Administrator | Statutory Auditor | Est. Registration Time |
|---|---|---|---|---|---|
| SAS (Simplified Stock Company) | 1 | No statutory minimum | Yes, with active tax ID | No | ~15 business days |
| SRL (Limited Liability Company) | 2 | No statutory minimum | Yes, with active tax ID | No | 30–60 business days |
| SA (Corporation) | 2 | ARS 30,000,000 (25% paid in at incorporation) | Yes, with active tax ID | Optional, depending on size | 30–60 business days |
| SAU (Single-Shareholder Corporation) | 1 | ARS 30,000,000 (paid in full) | Yes, with active tax ID | Mandatory (titular + alternate) | 30–60 business days |
| Branch of a foreign company | N/A — not a new legal entity | No statutory minimum | Legal representative required (may be non-resident, but needs a tax ID) | No | 2–3 months |
Figures and timelines are estimates and depend on the completeness of the documentation submitted. They are not legal or tax advice.
For most foreign investors seeking limited liability and day-to-day operational autonomy, a subsidiary — usually an SAS or SRL — is the most practical route. A branch can make sense when the goal is to keep ownership and control directly with the parent company, though that comes with unlimited liability for the parent.
Requirements for Foreign Shareholders
Foreign individuals
Do not need Argentine residency to be a shareholder or partner. They must obtain a CDI (a tax identification number issued by ARCA, the Argentine tax authority) for identification purposes only. No prior registration with the companies registry is required.
Foreign legal entities
A foreign company must complete a prior registration with the IGJ under Section 123 of the General Companies Law before it can become a shareholder or partner of an Argentine company. This filing requires apostilled and translated corporate documentation and takes up to two months. It is mandatory, and it must be completed before the local company is incorporated.
To move faster: it is common to incorporate the local company initially with individual shareholders, and later transfer the shares or quotas to the foreign entity once its Section 123 registration is complete.
Branch vs. Subsidiary
| Branch | Subsidiary (SAS / SRL / SA) | |
|---|---|---|
| Separate legal entity | No — an extension of the parent company | Yes — an independent entity |
| Liability | Parent company is fully liable, without limit | Limited to capital contributed (in principle) |
| Governing bodies / meetings | Not applicable | Required (shareholder/partner meetings) |
| Prior registration | Section 118, General Companies Law | Section 123 (only if the shareholder is itself a foreign company) |
The Resident Administrator Requirement
In every entity type, at least one administrator — a manager in an SRL, a director in an SA/SAU, an administrator in a SAS — must be an individual with real residency in Argentina and an active tax ID (CUIT). In an SA or SAU with a multi-member board, more than half of the directors must be Argentine residents. We can run a background check (through platforms such as Nosis or Veraz) on the person you have in mind, and draft the agreement governing their relationship with the company and its shareholders.
What we do not do: Portal Societario does not act as a nominee director, manager, or legal representative for client companies. Acting in that capacity carries significant personal legal exposure — foreign investors often underestimate how demanding Argentina's regulatory, tax, and labor framework can be, and if a business does not go as planned or funding from abroad stops, the local administrator can be left personally exposed to labor, tax, and corporate liabilities. If you have not yet identified someone for this role, we're glad to help you think through the options.
Registered Office
We can provide a registered legal address (domicilio legal) in the City of Buenos Aires for the company's bylaws and its registration with the IGJ. This is not the same as a tax domicile: for tax purposes, the domicile generally must match the place where the company actually carries out its activities, and it is typically handled by the accounting firm managing the company's tax matters.
Documentation from Abroad
Any foreign document used in the process must be apostilled and then translated into Spanish in Argentina by a certified public translator — translations produced abroad are not accepted by Argentine authorities. We coordinate these translations locally. Typical documents include:
- For foreign corporate shareholders: certificate of incorporation, current bylaws, a good-standing / certificate of incumbency, and a corporate resolution authorizing the registration and the investment.
- For individual shareholders and administrators: passport, proof of foreign address, and a power of attorney.
A Fully Remote Process
The entire process can be handled remotely, through a power of attorney granted and apostilled in your country of origin. We provide the template for the power of attorney for you to execute and legalize locally, so no travel to Argentina is required.
Operating Your Company: Tax, Foreign Exchange, and Labor at a Glance
Once your company is registered, three areas tend to raise the most questions from abroad: taxation, moving money in and out of the country, and the cost of hiring staff. Portal Societario is a law firm focused on corporate and registry matters — we don't practice tax, accounting, or labor law ourselves — but the paragraphs below give you a general, high-level orientation on how Argentine legislation currently treats each of these, based on publicly available sources. They describe the law in general terms; they are not tax, accounting, or labor advice, and specific figures and rules change frequently. We work alongside accounting firms and labor law specialists we trust and can put you in touch with them for advice tailored to your case.
Taxation
- Corporate income tax: a progressive rate scale applies to net taxable profits, with a top marginal rate of 35%; the income brackets are adjusted periodically for inflation. Companies resident in Argentina are taxed on worldwide income, with a credit available for equivalent tax paid abroad.
- VAT: a general rate of 21% applies to the sale of most goods and services (some goods at 10.5%, some services at 27%); exports of goods and services are taxed at 0%.
- Turnover tax (Ingresos Brutos): each of Argentina's 24 provincial jurisdictions levies its own tax on gross revenue, typically in the 3%–5% range for trade and services, and lower for industrial activity.
- Dividend withholding tax: distributions of dividends and branch-profit remittances are currently subject to a 7% withholding tax.
- Tax on shares (wealth tax): the local company itself pays an annual 0.5% tax on the value of shares or quotas held by shareholders, whether resident or not, on their behalf.
- Transfer pricing: transactions with related parties abroad must follow arm's-length principles broadly aligned with OECD standards.
Foreign Exchange and Repatriating Profits
Argentina has historically maintained a foreign exchange control regime administered by the Central Bank (BCRA). Since December 2023, access has been significantly liberalized — particularly for individuals, who can now buy foreign currency and transfer funds abroad with far fewer restrictions than in previous years. For companies, several requirements remain in place: access to the official FX market for certain transfers still calls for compliance with BCRA rules and, in some cases, prior approval, although the range of transactions requiring that approval has been substantially narrowed.
For distributing profits and dividends abroad, current rules generally allow access to the FX market for profits arising from fiscal years beginning on or after January 1, 2025, based on audited financial statements, subject to certain conditions. Repatriating the capital originally invested is also possible without prior BCRA approval once a minimum holding period has elapsed (currently as short as 180 days for funds brought in from April 2025 onward, longer for earlier investments), provided the investment was properly registered when it entered the country. Because this framework has been changing quickly and is expected to keep evolving as liberalization continues, we recommend confirming the rules in force at the time with your accountant or FX advisor before wiring funds in either direction.
Labor Costs and Hiring Employees
Argentina's labor framework is protective of employees and is one of the aspects foreign investors most often underestimate. On top of gross salary, employers fund social security contributions, a mandatory 13th-month salary (paid in two installments), paid annual leave, and mandatory workplace-accident insurance. Dismissing an employee without cause triggers a statutory severance payment.
A major reform, Law No. 27,802 (the "Labor Modernization Law"), was enacted and published on March 6, 2026, and is now in force. Among other changes, it: calculates severance on the employee's regular monthly pay only, excluding irregular items such as bonuses; keeps the basic formula at one month's salary per year of service (or fraction over three months), while capping it at 67% of the highest monthly pay for highly compensated employees; makes severance the employee's exclusive remedy once paid; and lets larger companies pay it in up to 6 installments (up to 12 for SMEs). It also creates an optional employer-funded severance trust (FAL, funded through monthly contributions of 1% of payroll for large companies or 2.5% for micro, small, and medium companies) as an alternative way to cover future severance costs, introduces formal "banco de horas" flexibility for working hours, and offers incentive regimes to formalize previously unregistered employees. This is a recent and significant change to a highly technical area, so we strongly recommend engaging a labor law specialist before making your first hire in Argentina.
Compliance and Know-Your-Client
Before taking on an engagement, we run a basic due diligence process — passports and proof of address for shareholders and administrators, and corporate documentation for any legal-entity shareholder. We'll let you know exactly what's needed once we understand your structure.
What We Don't Do
- Nominee directorship or legal representation — see above.
- Accounting, tax, and payroll services — we are a law firm, not an accounting practice. We work alongside, and can refer you to, trusted accounting firms experienced with non-resident-owned companies.
- Tax domicile — we provide the registered legal address, not the tax domicile (see above).
Opening a Bank Account
Opening a bank account for a company with non-resident shareholders is one of the more complex steps of setting up in Argentina. We guide and support you through the process, though the final decision always rests with each bank.
This page provides general information about Argentine law for informational purposes only. It is not legal, tax, or accounting advice, does not create an attorney-client relationship, and should not be relied on for any specific transaction — laws and figures change frequently. See our Legal Notice for more, or contact us to discuss your particular case.
Tell us about your investment — the type of activity, whether shareholders are individuals or a foreign company, and your timeline — and we'll help you find the right structure and next steps.