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Argentina: Emergency assistance program for employers (COVID-19)

Argentina: Emergency assistance program for employers

Additional relief is provided under an emergency assistance program for employment and jobs in response to the coronavirus (COVID-19) pandemic.


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Resolución General 4746/2020 (Spanish) (published 27 June 2020) announces the opening of the period for employers to register for benefits under the emergency assistance program for jobs and production (“ATP” for its acronym in Spanish) for the month of June 2020. 

Separate norms or decisións administratives (DECAD 817/2020 (Spanish) , DECAD 887/2020 (Spanish) and DECAD 1133/2020 (Spanish)) impose restrictions on companies that receive assistance under the ATP program. These provided, in part, that:

  • Employers cannot distribute dividends for the fiscal periods closed from November 2019.
  • Employers cannot repurchase their shares directly or indirectly.
  • Employers will not have access to the financial market to exchange pesos into foreign currency.
  • Employers will not be able to make payments of any kind, directly or indirectly, to beneficiaries whose residence, location or domicile is in a “non-cooperative jurisdiction” or a jurisdiction with low or no taxation.

These restrictions are applicable for a period of 12 months for companies with up to 800 workers, and for two years for companies with more than 800 employees. Additionally, for companies with more than 800 employees, they cannot increase by more than 5% the amounts of salaries, advances or fees that they pay to members of the corporate administrative bodies (such as the Board of Directors) for two years.

Some of these requirements are applicable retroactively for prior months, for which DECAD 817/2020 recommends establishing a mechanism so that enrollees can cancel their participation in the program and return the amounts received.

Resolución General 4719/2020 (Spanish) establishes the mechanism by which employers can cancel their participation in the emergency assistance program and return the amounts received (increased by an inflation adjustment factor imposed from the date the benefits were disbursed until the date of restitution). 

For more information, contact a KPMG tax professional in Argentina:

Hernán Caire | +54 (11) 431 65737 |

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