Argentine Senate approves Multilateral Instrument

• On 7 May 2025, the Argentine Senate approved the Multilateral Instrument (MLI) aimed at implementing tax treaty measures to prevent base erosion and profit shifting (BEPS).
• The MLI will take effect three calendar months after its publication in the Official Gazette and submission to the OECD.
• Multinational companies operating in Argentina should assess the implications of the MLI on their cross-border transactions, particularly regarding changes in tax treaty provisions and compliance requirements.

During the session that took place on 7 May 2025, the Argentine Senate approved the Multilateral Instrument (MLI) to implement Tax-Treaty-Related Measures to Prevent Base Erosion and Profit Shifting (BEPS). (For background, see EY Global Tax Alert, Argentine Chamber of Deputies approves Multilateral Instrument and other tax treaties, dated 9 October 2024.)

On 1 October 2024, the Chamber of Deputies had approved a bill to ratify the MLI.

Once the law is published in the Official Gazette, the MLI will be submitted to the Organisation for Economic Co-operation and Development (OECD). The MLI will enter into force upon the expiration of a period of three calendar months, beginning on the date the instrument is submitted to the OECD.

Multinational companies with a presence in Argentina should analyze the potential impact of the MLI in cross-border transactions.