PAIS Tax Offset Procedure for Advance Payments’ Collectors

The Argentine Tax Authority issued General Resolution 5638/2024 on January 20, 2025, to set a special procedure for a limited time, in which financial entities that collected advance payments on the PAIS tax are allowed to offset the resulting credits with their regular obligations of the Tax on Debits and Credits.

These entities may apply the tax credits on the PAIS tax they declare for their tax obligations on the Tax on Debits and Credits corresponding from January to April 2025. This special procedure may be used until May 30, 2025.

The amount to be offset is gradually increased each month:

• until January 31, 2025, only 33.33% of the declared amount may be offset,
• until February 28, 2025, that cap is raised to 66.66%,
• until May 30, 2025, the full amount declared may be offset.

The regulation also provides for interest accrual for the amounts may only be offset after January 31, 2025.

There is no special procedure established yet for the reimbursement or offset of the tax credits on the PAIS tax for the rest of the taxpayers.