ARGENTINA Trends and Developments Contributed by: Daniel Rinci, Tomas Cabanelas, Fernando García and Marisa Majul, Rinci & Asociados
LNG facilities in Río Negro, lithium projects by Rio Tin - to in Salta, and several mining developments across the country’s northern provinces. Most of Argentina’s provinces have either joined the regime or are in the process of doing so, extending its protections at the local level as well. The Medium Investment Incentive Regime (RIMI) If the RIGI was Argentina’s bid to attract billion-dollar megaprojects, the RIMI is its counterpart for the rest of the business world. Enacted as part of the Labour Modernisation Law passed in early 2026, the Medium Investment Incentive Regime – Régimen de Incentivo para Medianas Inversiones (known by its Spanish acronym, RIMI) – extends a package of tax benefits to small and medium-sized enterprises willing to invest in productive assets within Argentina. Target businesses The RIMI is open to micro, small and medium-sized enterprises, covering productive investments made during the two years following its entry into force. To qualify, businesses must be in good standing: out - standing tax, customs or social security debts will disqualify an applicant, as will criminal convictions in tax, customs or foreign exchange matters. Companies already benefiting from the RIGI or any other incentive regime cannot access the RIMI for the same invest - ments. Qualifying investments The regime targets real, tangible investment: the acquisition, manufacture, or importation of new mov - able assets (excluding cars), as well as construction works, all of which must be directly dedicated to pro - ductive activities in Argentina. Financial assets, port - folio investments and inventory are explicitly exclud - ed. Minimum investment thresholds vary by company size, ranging from USD150,000 for micro enterprises up to USD9 million for the largest qualifying busi - nesses. Notably, certain agricultural assets – irriga - tion systems, anti-hail netting, high energy-efficient equipment, and livestock – are eligible regardless of the amount invested, making the regime particularly attractive for the agribusiness sector.
Benefits The RIMI offers two concrete tax advantages. The first is accelerated depreciation for income tax purposes. Rather than deducting the cost of an asset gradually over its full useful life, beneficiaries can write it off much faster – in as little as a single year for irrigation equipment, anti-hail netting, energy-efficient machin - ery, and livestock. For general movable assets, depre - ciation is compressed into two annual instalments, and for construction works, into a schedule based on 60% of the standard useful life estimate. In practical terms, this means the tax burden of an investment is felt sooner and more intensely, improving cash flow in the critical early years. The second benefit is an accelerated VAT refund. VAT credits arising from qualifying investments can be recovered after just three monthly tax periods, rather than waiting for the credit to be absorbed gradually against future VAT liabilities. For capital-intensive pro - jects, this can represent a meaningful improvement in liquidity. Conditions and penalties The benefits are tied to asset permanence. If a qualify - ing asset leaves the company’s balance sheet within two fiscal years of being put into use, the incentives are forfeited. Misuse of the regime can result in repay - ment of the tax benefits received, plus interest and a penalty of up to twice the value of the benefit applied. Tax reforms Argentina’s recent legislative wave has delivered meaningful changes to the country’s tax framework. Drawing from different pieces of legislation, the reforms touch on income tax, VAT, excise taxes, the criminal enforcement of tax obligations, and the rela - tionship between taxpayers and the revenue authority. Taken together, they represent one of the most sub - stantive reconfigurations of Argentina’s tax landscape in years. Income tax changes Several targeted amendments to the Income Tax Law are worth noting:
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