Computarized System of Foreign Exchange Transactions

On October 31, 2011, Resolution N° 3210/2011, issued by the Argentine Tax Authority (“Administración Federal de Ingresos Públicos”), was published at the Official Gazette. The Resolution is in force as from that day.

The Resolution provides that the entities authorized to make foreign exchange transactions (for instance, banks, foreign exchange offices, etc.), in the event of selling foreign currency, must request information and register, through a computerized system, the amount in pesos of the sale of the foreign currency.

The entities must inform the Tax Code (“CUIT”, “CUIL” or “CDI”) of the individual or entity who is entering the transaction; the type of currency, its destiny and the amount in pesos and the foreign exchange rate applied. The Argentine Tax Authority will assess, on line, the data entered through the computerized system and will issue the corresponding reply in accordance with the information that the Tax Authority has on its data base. The reply of the Argentine Tax Authority may be as follows:

1. validated: this indicates that the data entered correctly passed the control and it assigns a number to the transaction;
2. with inconsistencies: this indicates that the data has not passed the control.

The taxpayer may check, before entering the foreign exchange transaction, whether the Argentine Tax Authority will validate the transaction. For such purpose, the taxpayer must enter with its tax code to the service “Request of Information on Foreign Exchange Transactions”.

As the Resolution No. 3210/2011 entered in force today, the entities authorized to make foreign exchange transactions have not finalized yet the implementation process.