The key to the inheritance tax, which requires large amounts to be paid upon the death of a parent in Buenos Aires, is… Transferring real estate while maintaining the usufruct rightWhich reduces the tax burden. It also helps in selling assets and inheriting funds, which cannot be located in a specific governorate.
How to avoid inheritance tax
The tax on the free transfer of assets or inheritance tax is Valid in the Province of Buenos Aires In very high amounts, although many forget their existence and the possible repercussions of this unfair tax burden, as Santiago Saenz Valente, of Saenz Valente Studio and Asoc, points out:
To reduce the tax burden, it is common to consider Donate to your children or forced heirs, bare propertyWhile preserving the right to use real estate, whether urban or rural.
In these cases, when a person dies, tax is imposed only on the value allocated to the usufruct, which As age increases, the percentage decreases. of the value assigned to the asset.
When the property is prepared to be received by the heirs, a Selling in advance by offering funds Beneficiaries will be exempt from the tax as long as they do not reside in the province of Buenos Aires. This is because money has no place..
Why progress has legal certainty
Before the legal amendment to the Civil Code under Law No. 27587, there was concern that after receiving the property by donation, the property would later be sold by the beneficiary. It was “observable” by the buyer.
New legal regulations gave ownership titles to properties donated for the benefit of children A Legal security they didn’t have.
The donation implies the expectation of a tax that will also accrue upon the succession transition, with uncertainty playing an important role.
If you leave this tax burden checked, it can be Comfortable for any increase From him. No one reasonably hopes that this tribute will be eradicated and has encountered it in vain.
Especially, if the property is located in any other province, and the beneficiary is outside the province of Buenos Aires, in this case the donation will be excluded from tax. This would be a complete advantage. If inheritance tax is published In all jurisdictions, as has been suggested on more than one occasion.
Who is affected by inheritance tax?
Inheritance tax affects residents of Buenos Aires No matter where the goods are located that imposes this tax. Everything depends on the domicile of the beneficiary, whether it is an inheritance or a donation, and in this case the law intends to access that wealth located outside Argentina.
in Entre Ríos Province, an attempt was made to enforce itBut the local Supreme Court of Justice declared it unconstitutional due to violation of the principles of equality and tax confiscation.
This tax imposes a tax on any increase in wealth without compensation and includes Inheritance, legacies, donationsOr assignment of rights or transfers by an intermediary person in favor of branches or contributions in companies in the case of evidence.
This is a matter of concern, because families contribute to the generation of assets that they later obtain through “inheritance or donation”, with daily work and effort, and in such an opportunity are affected by this financial burden under analysis.
How much do they charge you for this tax burden?
For tax settlement purposes Annual period 2025It was decided that:
- Non-taxable minimum $8,488,486 For cases of parents, children or spouse.
- The maximum applicable rate is 7% thereafter $4,355,750,000 Taxable.
- Flat tax depending on size $276,306,851.
Real estate is included in this tax, taking into account the assessment to which the taxpayer is entitled, between the tax value, the reference tax value, or the market value. But the legal rule indicates this It is taken as “the greatest of them all.”“.
There is no doubt that knowing the sales or market value for its correct evaluation will not be easy, as the taxpayer must have evidence approved by real estate agencies in the region.
To avoid this tax burden for the province of Buenos Aires, you can resort to transferring the usufruct of property, which reduces the tax, or selling assets so that money is inherited, which cannot be located in the province.
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