How to Report Crypto Income in Argentina: Complete 2024 Tax Guide

Introduction: Navigating Crypto Taxes in Argentina

As cryptocurrency adoption surges in Argentina, understanding how to report crypto income to AFIP (Federal Administration of Public Revenue) is crucial. With inflation pressures and evolving regulations, proper tax compliance protects you from penalties while leveraging crypto’s financial potential. This guide breaks down Argentina’s crypto tax framework into actionable steps.

Who Must Report Crypto Income in Argentina?

You must declare crypto activities if you:

• Are an Argentine tax resident (spending >6 months/year in the country)
• Earned capital gains from selling/trading cryptocurrencies
• Received crypto as payment for services or goods
• Earned mining, staking, or lending rewards exceeding ARS 100,000 annually
• Hold foreign crypto assets exceeding USD 100,000 (requires Form 720)

Types of Taxable Crypto Income

AFIP categorizes crypto earnings as:

• Capital Gains: Profits from selling crypto (taxed at 15%)
• Ordinary Income: Mining rewards, staking yields, and crypto salaries (taxed at progressive rates up to 35%)
• Wealth Tax: Holdings exceeding ARS 18 million (0.25%-0.50% rate)
• Foreign Asset Reporting: Crypto held on non-Argentine exchanges (via Form 720)

Step-by-Step Reporting Process

1. Gather Documentation: Collect exchange statements, wallet addresses, transaction histories, and fiat conversion records.
2. Calculate Gains: Determine profits using FIFO (First-In-First-Out) method. Formula: Selling Price – Acquisition Cost – Allowable Expenses.
3. Convert to ARS: Use the official FX rate (Comunicación A 3500) on transaction dates.
4. Complete Tax Forms:
   • Form 572: For capital gains and ordinary crypto income
   • Form 720: For foreign-held crypto assets (due March 31 annually)
5. File Electronically: Submit via AFIP’s “Monotributo” portal or with a certified tax professional.

Key Deadlines and Penalties

• Annual Income Tax: May/June for the previous fiscal year
• Form 720: March 31 for foreign asset declarations
• Penalties: 50%-100% of owed tax for late filing, plus monthly interest (3% + inflation adjustment)

FAQs: Crypto Taxes in Argentina

Do I pay taxes if I only hold crypto?

No, but holdings exceeding USD 100,000 on foreign platforms require Form 720 disclosure.

How are crypto losses handled?

Capital losses can offset gains for 5 years. Unused losses carry forward.

Is P2P trading taxable?

Yes, all crypto-to-fiat or crypto-to-crypto trades trigger capital gains calculations.

Can I deduct mining expenses?

Yes, equipment costs and electricity are deductible against mining income.

What if I use foreign exchanges?

You must report all global income. AFIP receives data from major platforms via international agreements.

Pro Tips for Compliance

• Use AFIP’s “Mi AFIP” portal to verify tax categories
• Maintain USD-based records to counter peso volatility
• Consult a contador público (CPA) for complex cases
• Leverage crypto tax software like Koinly or CoinTracking

Conclusion: Stay Ahead of Regulations

With Argentina’s Senate debating comprehensive crypto legislation in 2024, proactive compliance is essential. By accurately reporting crypto income through AFIP’s established channels, you avoid penalties while contributing to the formal economy. Always verify requirements via AFIP’s official site or a qualified tax advisor.