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

Understanding Crypto Tax Obligations in Argentina

As cryptocurrency adoption surges in Argentina, the AFIP (Federal Administration of Public Revenues) has intensified scrutiny on digital asset transactions. All crypto-related income – including trading profits, staking rewards, mining income, and NFT sales – must be declared in your annual tax return. Argentina treats cryptocurrencies as “other assets” rather than currency, meaning capital gains from crypto investments are subject to income tax under the country’s progressive tax brackets ranging from 5% to 35%.

Step-by-Step Guide to Reporting Crypto Income

1. Track All Transactions: Document every trade, conversion, and disposal with dates, amounts in ARS, and counterparty details using tools like Koinly or CoinTracking.
2. Calculate Capital Gains: Subtract acquisition cost (including fees) from disposal value for each transaction. Use FIFO (First-In-First-Out) method unless you maintain specific lot identification.
3. Convert to Argentine Pesos: Express all values in ARS using the official exchange rate (A3500) at the transaction time according to AFIP Resolution 777/2023.
4. Complete Form 720: Declare foreign-held assets including crypto in overseas exchanges by March 31 annually.
5. File Income Tax Return (Ganancias): Report net capital gains in Section 4 of Form 572 during the April-June filing period.

Essential Documentation You’ll Need

• Exchange transaction histories with wallet addresses
• Bank statements showing fiat deposits/withdrawals
• Receipts for hardware wallets or mining equipment
• Records of airdrops, forks, and staking rewards
• Proof of crypto donations (if applicable)

Penalties for Non-Compliance

Failure to report crypto income can trigger severe consequences:

• Monetary fines up to 200% of evaded tax
• Asset freezing through AFIP’s “Fiscal Padlock” program
• Criminal charges for tax evasion exceeding ARS 500,000
• Mandatory disclosure in the “Fiscal Moratorium” registry

Special Considerations for Miners and Stakers

Crypto miners must report mined coins as ordinary income at market value upon receipt. Staking rewards are taxable upon withdrawal at their ARS equivalent. Business entities engaged in crypto activities face additional requirements:

• Monthly VAT declarations
• Corporate income tax filings
• Registration in AFIP’s Cryptoasset Operations Registry

Frequently Asked Questions (FAQ)

Do I need to report crypto-to-crypto trades?

Yes. Every crypto disposal (even for other cryptos) is a taxable event requiring capital gains calculation in ARS.

How are losses handled?

Capital losses can offset gains in the same fiscal year. Unused losses carry forward for five years.

Is there a tax-free threshold?

No. Argentina taxes all crypto profits regardless of amount, though personal income tax exemptions apply to the first ARS 2,340,000 annually (2024).

Must I report holdings on foreign exchanges?

Absolutely. Form 720 requires disclosure of all foreign-held assets, including crypto in platforms like Binance or Coinbase.

How does inflation adjustment work?

Argentina permits adjustment of acquisition costs using the Coefficiento de Ajuste por Inflación published monthly by AFIP.

Can I deduct crypto expenses?

Yes. Transaction fees, mining electricity costs, and hardware expenses are deductible against crypto income with proper documentation.

Staying Compliant in 2024

With AFIP implementing blockchain analytics tools like Chainalysis, crypto tax transparency is non-negotiable. Consult a certified public accountant (CPC) specializing in crypto assets and monitor AFIP’s Cryptoasset Taxation Guide for updates. Proper reporting not only avoids penalties but establishes financial legitimacy in Argentina’s evolving digital economy.