How to Pay Taxes on Crypto Income in Argentina: Your Complete 2024 Guide

Understanding Crypto Tax Obligations in Argentina

As cryptocurrency adoption surges in Argentina, understanding how to pay taxes on crypto income is crucial for compliance. The Federal Administration of Public Revenues (AFIP) treats cryptocurrencies as taxable assets under existing tax laws. Whether you’re trading, mining, or receiving crypto payments, you must report earnings to avoid penalties. This guide breaks down Argentina’s crypto tax framework with actionable steps for compliance.

How Argentina Taxes Cryptocurrency Transactions

Argentine tax law categorizes crypto as “other assets” rather than currency. Two primary taxes apply:

• Income Tax (Impuesto a las Ganancias): Applies to profits from selling crypto at a gain. Calculated as (Sale Price – Acquisition Cost) – Allowable Deductions.
• Personal Assets Tax (Bienes Personales): Annual wealth tax on worldwide assets exceeding ARS 6 million (2024 threshold). Includes crypto holdings valued at December 31 market prices.

Tax rates vary: Income tax uses progressive brackets up to 35%, while assets tax ranges from 0.5% to 1.25% based on total asset value.

Taxable Crypto Activities in Argentina

These common crypto actions trigger tax events:

• Trading: Profits from exchanging crypto-to-crypto or crypto-to-fiat
• Mining: Rewards are taxable income at market value when received
• Staking/Yield Farming: Generated rewards treated as ordinary income
• Airdrops & Forks: Taxable at fair market value upon receipt
• Crypto Payments: Salary or freelance income in crypto is subject to income tax

Step-by-Step Guide to Reporting Crypto Taxes

1. Track All Transactions: Log dates, amounts, ARS values, and purposes using tools like Koinly or CoinTracker
2. Calculate Gains/Losses: Use FIFO (First-In-First-Out) method for cost basis calculations
3. File Annual Declarations: Report gains via Form 572 for Income Tax (April-May deadline) and Form 720 for Assets Tax (May-June deadline)
4. Pay Obligations: Settle taxes via AFIP’s online portal using bank transfer or credit card
5. Retain Records: Keep transaction logs and filings for 5 years

Penalties for Non-Compliance

Failure to report crypto income may result in:

• Fines of 50-100% of unpaid tax
• Monthly interest charges (approx 3% above prime rate)
• Criminal charges for severe evasion cases
• Asset freezing via AFIP’s “Fiscal Padlock” program

Frequently Asked Questions

Do I owe taxes if I hold crypto without selling?

Yes, if your total assets (including crypto) exceed ARS 6 million, you’ll pay the Personal Assets Tax annually based on December 31 valuations.

How is crypto mining taxed?

Mining rewards are taxed as ordinary income at their market value when received. Additional income tax applies when selling mined coins for profit.

Can I deduct crypto losses?

Yes, capital losses can offset capital gains within the same fiscal year. Unused losses carry forward for 5 years.

Are peer-to-peer crypto trades taxable?

Absolutely. Any disposal of crypto (even for other crypto) is a taxable event. You must calculate gains based on ARS values at transaction time.

What exchange rate should I use for calculations?

Use the average ARS/USD exchange rate published by AFIP for the transaction date. For non-USD pairs, convert to USD first then to ARS.

Do foreign crypto exchanges report to AFIP?

Since 2020, AFIP requires foreign exchanges to report Argentine users’ transactions. Always assume your activity is visible to tax authorities.

Staying Compliant in 2024

With Argentina increasing crypto surveillance through systems like “Sistema de Perfil de Riesgo,” accurate reporting is essential. Consult a local tax professional specializing in crypto to navigate complex scenarios like DeFi or NFTs. Keep detailed records using crypto tax software, and file before deadlines to avoid penalties in this rapidly evolving regulatory landscape.