The Argentine Congress approved a broad tax overhaul on December 23, 2016, in the form of Law 27.346, which was entered into force on December 27, 2016. Although there were a number of corporate income tax reductions, there was a notable change and reduction in the personal income tax burden.
The minimum threshold has been raised to approximately 23 percent so that workers without a family will be taxed on gross monthly salaries above ARS 27,941 (about $1,735), while those married with two children will be taxed on gross monthly salaries in excess of ARS 37,000. As for the corporate income tax, the most significant tax reform allows for tax assessment and interest charge deductions when final deficiencies were reported during a fiscal period, and only after having been enforced by the tax authorities. Moreover, the new law increases the amounts of fixed deductible allowances, creates new exemptions for overtime hours worked by employees, and updates the income tax brackets for individuals in general.