The Revenue Agency of the Province of Buenos Aires (ARBA) announced that starting in October, it will begin implementing a new withholding regime for the Gross Income Tax on digital wallets. This measure comes at a time when digital payments are becoming increasingly common and aims to equalize the tax treatment of these platforms with that of traditional banks, which were already subject to this tax.
Who is affected?
The new regime will directly impact merchants, professionals, and self-employed individuals who are registered for Gross Income Tax in the province or under the Multilateral Agreement.
Additionally, the most popular digital wallets — such as Mercado Pago, Ualá, Naranja X, MODO, and Cuenta DNI — will have to act as withholding agents. This means that these applications will be responsible for deducting the corresponding percentage from the credits received by their user contributors.
Who is not affected?
A key point to avoid confusion: ordinary users will not be affected. That is, those people who use their digital wallets solely to pay for services, shop at stores, or send money to family and friends will not suffer any additional deductions.
Those who receive their salary, retirement, pension, scholarships, subsidies, or family allowances through these platforms will also not be affected, as long as they do not engage in commercial activities.
How will the withholding work?
The withholding will function as an advance on Gross Income Tax. The amount will be calculated based on a percentage that varies according to the taxpayer's economic activity, with rates ranging from 0.01% to 5%.
Some examples:
Construction: around 0.10%
Transport: 0.50%
Liberal professions: 0.80%
Primary or industrial activities: 0.30%
The system will come into effect in two phases:
From October 1, 2025 for wallets that are already listed in the official register.
From November 1, 2025 for the rest of the applications.
The most used wallets in the Province
The impact of the measure is directly related to the large number of users these platforms have.
Cuenta DNI, from Banco Provincia, is the most used digital wallet in PBA, with more than 6.8 million users.
Mercado Pago leads the national ranking and also has a strong presence in the province.
Other popular options include Ualá, Naranja X, MODO, and BNA+, which together handle millions of transactions each month.
What implications can it have?
The announcement generates varied reactions. On one hand, authorities emphasize that the measure aims to equalize the rules of the game between banks and digital wallets, preventing the latter from having a tax advantage.
However, for merchants and professionals, the withholding will mean a tax advance that can affect their cash flow. In some cases, the costs could be passed on to the final prices of goods and services.
In contrast, individual users will continue to use their wallets normally, without changes or additional deductions.
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