Mining 2025

ARGENTINA Law and Practice Contributed by: Sebastián P. Vedoya, Sergio Arbeleche and Dolores Cattaneo, Bruchou & Funes de Rioja

4. Taxation of Mining and Exploration 4.1 Mining and Exploration Duties, Royalties and Taxes In Argentina, taxes are levied at three different levels by the following authorities: the federal government, the provinces (or states) and the municipalities (or counties). The main Argentine taxes applicable to indi - viduals, companies, branches of non-resident companies and permanent establishments are as follows. Federal Taxes Income tax The income tax law (ITL) applies to all income from Argentine and/or foreign sources obtained by Argentine residents (on a worldwide basis). Non-Argentine residents are taxed exclusively on their Argentine source income. Permanent establishments are considered as tax residents and taxed accordingly. The Incentive Regime for Large Investments (RIGI) provides certain income tax (IT) incentives for mining projects qualifying under the regime’s provisions, which encompass a reduced corpo - rate IT rate, accelerated depreciation of signifi - cant assets, inflation adjustments for IT purposes and reduced tax rate for dividend distributions, among others. Value-added tax Value-added tax (VAT) is levied on the sales of tangible assets in Argentina, on the performance of works and services in general within Argen - tine territory, and on definitive imports of goods. Under certain circumstances, VAT is also pay - able on services rendered from abroad which are effectively used or exploited in Argentina, and on

Participation and Justice in Environmental Mat - ters in Latin America and the Caribbean”, known as the Escazú Agreement. It guarantees the right of all persons to have access to information in a timely and appropriate manner, to participate significantly in making the decisions that affect their lives and the environment, and to access justice when those rights have been infringed. The Escazú Agreement has started to be con - sidered and applied by the courts. 3.3 Sustainable Development Initiatives Related to Mining There are several sustainable development initia - tives both at the federal and provincial level. They are mostly related to energy efficiency, renew - able energy, use of clean technology, improve - ment of public infrastructure, reduction of the carbon footprint, and the use of good practices on agribusiness, among others. For instance, it could be highlighted that, due to the approval of the 2030 Agenda for Sustainable Development, the federal government has adopted eight goals and 100 standards, which, among other matters, refer to the need to mitigate climate change and its effects. 3.4 Energy-Transition Minerals At the federal level, energy transition minerals are subject to the same concession regime aris - ing from the FMC that applies to first and sec - ond category minerals which are granted to the private sector for development. Some provinces such as Jujuy have issued certain specific rules for provincial state-owned companies to have a mandatory interest in companies developing Lithium.

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