Argentina IVA calculator

In Argentina the indirect tax on consumption is IVA (Impuesto al Valor Agregado, value added tax), with a standard rate of 21%.

Argentina is one of the few countries with an increased rate: 27% applies to electricity, gas, water and telecoms services when the customer is a registered taxpayer. The 10.5% rate covers meat, fruit, vegetables, bread, residential construction work and loan interest.

This calculator works both ways: it adds the tax to a price without it and also breaks it out of a final price.

Enter the amount, choose whether to add or remove the tax and pick the rate. The rates available in Argentina are: standard 21 %, reduced 10.5 % and increased 27 %.

If you need a rate other than those listed, choose “other rate” and type it in.

Why a 27% rate exists

It is unusual worldwide. It applies to gas, electricity, water and telecoms services when the customer is a registered taxpayer and the consumption is not residential. The reasoning is that those services, in business use, can bear a heavier charge than at home, where 21% applies.

What falls under 10.5%

Meat, fresh fruit, vegetables and pulses, bread, flour, construction work for housing, bank loan interest, private health plans and some capital goods. It is the rate designed not to inflate the basic basket or productive investment.

Monotributo: the big exception

Monotributo taxpayers pay a single monthly amount covering both tax and social security, and do not itemise VAT on their invoices. That is why a type C invoice gives the buyer no input credit: for a registered company, buying from a monotributista means no VAT to reclaim on that purchase.

Advance collection schemes

Argentina makes heavy use of perception and withholding regimes. They do not change the VAT due on a transaction, but they bring forward payment and often create credit balances that have to be managed.