Independent contractors, outsourcing and platform workers in Argentina

Key rules

1. What an employment contract is

• Contract of employment. There is an employment contract, whatever its form or name, whenever a natural person undertakes to provide services for another person, under that person's dependence, for a fixed or indefinite period, in exchange for pay (LCT art. 21, as replaced by Law 27.802 art. 11).
• Employment relationship. There is an employment relationship when a natural person provides services for another, under that person's dependence, voluntarily and for pay (LCT art. 22, as replaced by Law 27.802 art. 12).
• Employer. A natural or legal person, or a group of them even without legal personality, that requires the services of a worker to perform under its dependence (LCT art. 26, as replaced by Law 27.802 art. 14).
• Partner employee. People who, being members of a company, give it all their activity personally and habitually, subject to its instructions, are treated as its dependent workers for labor law purposes. Family companies among members of the primary family group are excepted (LCT art. 27, as replaced by Law 27.802 art. 15). This matters for startups that make developers "partners" with a token stake.

The word that runs through all of these definitions is dependence. The law does not define it, but Law 27.742 art. 97 and Decree 847/2024 refer to the three "typical notes" of the employment relationship: technical, legal and economic dependence. If at least one of them is absent, the independent worker regime of art. 97 can apply.

2. The presumption of employment (LCT art. 23)

The text in force since 6 March 2026 (Law 27.802 art. 13; Law 27.802 art. 217 for entry into force):

"The fact that services are provided in a situation of dependence makes the existence of an employment contract presumed, unless the contrary is shown by the circumstances, relationships or causes that motivate it. The presumption in this article does not apply where works, professional services or trades are contracted, or any other modality that involves the provision of services without a dependence relationship, and the corresponding receipts or invoices are issued for those forms of contracting, or payment is made through the banking systems and/or other systems determined by the regulation. That absence of presumption extends to all purposes, including social security." (unofficial translation)

How it evolved.

What it means in practice.

1. A worker who claims to be an employee first has to show dependence, not just that services were provided. The new wording makes the presumption operate only once dependence is shown, which reduces its practical value. Whether courts will read it that way, or continue to infer dependence from facts such as fixed hours, exclusivity and integration into the business, is not settled in the sources (unconfirmed).
2. Where the provider invoices (for example, as monotributista) or is paid through the banking system, the presumption does not operate at all. The worker can still prove employment with ordinary evidence, because art. 21 still defines employment by its substance "whatever its form or name".
3. The number of invoices and the number of clients are irrelevant for the exception (Decree 847/2024, Annex II, art. 3). A contractor with a single client, invoicing every month, is still within the exception, but single client dependence remains strong evidence of economic dependence.
4. The "banking and other systems" that would also exclude the presumption are left to regulation. Decree 847/2024 did not set them; no later regulation is in the sources (unconfirmed).
5. The exclusion "extends to social security", so ARCA cannot use the presumption either. It can still assess contributions if it proves dependence.

Status of DNU 70/2023. DNU 70/2023 contained the same art. 23 text. The labor chapter of that decree was challenged in court; the outcome is not in the sources (unconfirmed). The point is now academic for art. 23, because Laws 27.742 and 27.802 enacted the rule by statute.

3. Who the LCT does not cover (LCT art. 2)

LCT art. 2, as replaced by Law 27.802 art. 1, lists exclusions. Relevant here:

• (d) contracts for works, services, agency, transport, freight and all contracts regulated by the Civil and Commercial Code;
• (e) independent workers and their collaborators under Law 27.742 art. 97;
• (f) independent providers on technology platforms, under their specific regulation.

The version of art. 2 introduced by Law 27.742 (art. 88) excluded works, services and agency contracts; Law 27.802 added transport, freight, the art. 97 workers and platform providers.

4. Independent workers with collaborators (Law 27.742 art. 97; Decree 847/2024)

• The rule. An independent worker may engage up to 3 other independent workers to carry out a productive venture and may join a special unified regime to be regulated by the executive. The regime is based on an autonomous relationship, with no dependence between them or with the clients, and includes for both the main worker and the collaborators a single monthly payment covering pensions, health insurance (obras sociales and the National Health Insurance System) and work risk insurance (Law 27.742 art. 97).
• Anti fragmentation. Splitting establishments to obtain benefits in fraud of the law is forbidden (art. 97, third paragraph).
• When it applies. Only where the relationship is truly independent, that is, where at least one of the typical notes of employment (technical, legal or economic dependence) is absent, according to the activity, trade or profession (art. 97, last paragraph).
• Regulation (Decree 847/2024, Annex II, art. 24).
• All of them must be registered in the general tax and social security regime "or any other regime that may apply" for activities not performed under dependence. The decree refers to the option in Decree 661/2024, art. 12 (unconfirmed).
• All must file a sworn statement with ARCA (then AFIP) on the independent nature of the relationship.
• They may have personal accident cover.
• The collaborator cannot be restricted from working simultaneously for others, under collaboration, employment or service contracts (art. 24(a)).
• Either party may terminate the collaboration at any time (art. 24(b)).
• The main worker cannot have more than 3 collaboration contracts in force at the same time (art. 24(c)).
• The regime does not apply where an employment relationship is presumed to have been replaced by another legal form to obtain its benefits (art. 24, last paragraph).
• Gap. The single monthly payment promised by art. 97 has not been set in any source reviewed. In practice the parties fall back on monotributo or the autonomous regime and private accident cover (unconfirmed).

5. Intermediation, temporary agencies and subcontracting (LCT arts. 29, 29 bis, 30, 31 and 136)

• Labor supplied by intermediaries (art. 29). Workers are direct employees of whoever registers the relationship, even if they were hired to be supplied to third parties. The user company is jointly liable for labor and social security obligations for the supplied workers, only for amounts accrued while they actually worked for it, and may recover from the main obligor (art. 29, as replaced by Law 27.802 art. 16). Registration by either the employer or the user company is fully effective (Law 24.013 art. 7 bis, inserted by Law 27.742 art. 83; Decree 847/2024, Annex II, art. 1).
• Temporary staffing agencies (art. 29 bis). A user that employs workers through an authorised temporary services company is jointly liable with it for all labor obligations and for the social security withholdings set by ARCA. The temporary worker is governed by the collective agreement of the activity in which he or she actually works at the user, and cannot be a union delegate with protection under Law 23.551 linked to the user (art. 29 bis, as replaced by Law 27.802 art. 17).
• Subcontracting of the normal and specific activity (art. 30). Whoever assigns all or part of its establishment, or contracts or subcontracts work or services that belong to the normal and specific activity of the establishment, within its premises, excluding accessory or supporting activities, must require from its assignees, contractors or subcontractors:
• the CUIL of each worker who provides services;
• proof of monthly payment to the social security subsystems;
• proof of payment of salaries;
• details of one account in the worker's name where salary is paid; and
• work risk insurance cover with an endorsement in favor of the principal.

Checking these items exempts the principal from all liability. The principal is not liable either if the contractor provides false information. If the principal fails to request the data, it is jointly liable (art. 30, as replaced by Law 27.802 art. 18). * Groups of companies (art. 31). Companies under common direction, control or administration, or forming a permanent economic group, are jointly liable for each other's labor and social security obligations only where fraudulent maneuvers occurred (art. 31, as replaced by Law 27.802 art. 19). * Retention right (art. 136). Workers of contractors may ask the principal to withhold from what it owes the contractor and pay them directly salaries, severance and other amounts owed. The principal may, without notice, withhold from the contractor the amounts the contractor owes to social security for those workers and deposit them (art. 136, as replaced by Law 27.742 art. 92). The withholding cannot exceed the contractor's social security debt, proportional to the number of workers and the periods they served the principal; ARCA must provide a mechanism to check the debt and the amount to withhold (Decree 847/2024, Annex II, art. 5) (unconfirmed).

6. The Monotributo (Law 24.977, Annex)

The Monotributo is the regime that most individual contractors use. Key rules:

• Who can join. Natural persons who sell goods, provide services or execute works, members of work cooperatives and certain estates, whose gross income from those activities in the previous 12 months does not exceed the category K maximum (Annex art. 2). Directing, managing or administering companies is not an activity covered (art. 2). The person may not have imported goods or services for resale in the last 12 months, nor have more than 3 simultaneous activities or units (art. 2(d) and (e)).
• What it replaces. The monthly payment replaces income tax and VAT on the activities included (art. 6), and the operations are exempt from both taxes.
• What it contains. An integrated tax (art. 11), a SIPA pension contribution and a health insurance (obra social) contribution (art. 39). The health contribution is per person; each additional family member costs the same amount again (ARCA table, note ****).
• Categories and updating. Categories A to K depend on annual gross income, surface, electricity and rent (art. 8). For services without a fixed place, only gross income counts (art. 9, last paragraph). All amounts are updated every January and July by the CPI variation for the previous half year, and ARCA publishes them (art. 52, as replaced by Law 27.743 art. 94). Current values (from 1 August 2026) are in Table 2.
• Recategorisation. At the end of each half year (January to June, July to December) the taxpayer must recompute the last 12 months' parameters; the new category applies from the second month after the end of the half year (art. 9).
• Automatic exclusion. A taxpayer is excluded automatically from the moment, among others, that gross income of the last 12 months exceeds the category K limit; personal spending or bank deposits are incompatible with declared income; operations are not backed by invoices; purchases plus expenses of the last 12 months reach 40% of the category K income limit for services (80% for sales of goods); or the taxpayer is listed in REPSAL as a repeat offender (art. 20). Exclusion takes effect from 0:00 of the day the cause occurs; the person must register in the general regime and cannot return for 3 calendar years (art. 21).
• Contributions exemptions. Those who are also employees and contribute as such, university professionals compulsorily affiliated to a provincial professional pension fund, and minors under 18 do not pay the art. 39 contributions (art. 40).
• Hiring by the monotributista. A monotributista can have employees; but the art. 97 collaborator route requires registration as explained in point 4.

7. Autonomous workers (régimen general)

Self employed people who do not join or are excluded from the Monotributo must register in the general regime: VAT, income tax and the autonomous workers' pension regime. The autonomous contribution is a fixed monthly amount by category. ARCA published new values in force from 15 October 2026: minimum categories I to V range from ARS 78,271.56 (US$ 50) to ARS 344,390.34 (US$ 220) a month (Table 3). Autonomous workers also bill VAT at 21% (VAT Law art. 28) if registered, which makes them more expensive for clients that cannot recover VAT. Health insurance is not included in the autonomous contribution (unconfirmed).

8. Platform delivery and mobility workers (Law 27.802 Title XII, arts. 119 to 128)

• Purpose. To promote the platform economy while "ensuring the independence" of those who provide delivery and passenger mobility services through apps (art. 119).
• Definitions (art. 120).
• Delivery service: picking up, carrying or delivering goods, products or objects, without processing, by any means of transport including on foot, contracted through a technology platform.
• Mobility service: carrying people under an agreed price, arranged through a platform that connects users and independent providers.
• Independent platform provider: a natural person who agrees to provide private delivery or mobility services to users through platforms independently.
• Platform: a legal entity that, for consideration, manages executable code in mobile or fixed apps that lets providers offer and be hired by users in a given territory.
• Scope (art. 122). All of Argentina, for relationships between independent providers and platforms whose main purpose is to intermediate delivery or mobility services.
• Freedom of form (art. 123). The parties may freely agree the contract terms.
• Freedom to connect (art. 121). The provider may connect to any platform, at times and for as long as it wishes, accept or reject requests, and choose the means of transport (complying with legal requirements). Providers have the right to know, in plain language and in digital form, the criteria used to group them, to the extent trade secrets allow.
• Platform obligations (art. 124). Give providers the information needed to accept or reject a job; respect freedom to connect; provide road safety information; facilitate access to road safety equipment; run a simple, always available digital complaints mechanism; and offer support staff through whom providers can obtain explanations for decisions affecting them.
• Provider obligations (art. 125). Hold the user account; be registered with the tax authorities and meet tax and social security obligations, paying contributions that give access to the basic universal pension, disability and survivor pensions and health insurance; have a bank account or e-wallet (CBU or CVU) informed to the platform; obey traffic rules; perform properly.
• Provider rights (art. 126), which by express provision are not an indication of employment: reject any request without justification; receive reasons for a suspension or block and have a right of reply; data portability; free training on the app and on road safety, paid by the platform; access to personal accident insurance provided by the platforms, covering at least accidental death, total or partial permanent disability, medical and pharmaceutical costs and funeral costs. Who pays for that insurance is a matter of free agreement, without exclusive responsibility for either party and without being an indication of employment. Providers keep 100% of tips; they may connect without minimum frequency, stop using the app without notice, work as long as they wish, and choose the route.
• Authority and gaps. The executive must designate the enforcement authority by regulation (art. 127). Anything not covered is governed by the Civil and Commercial Code (art. 128). No implementing decree is in the sources (unconfirmed).
• Earlier rules. some secondary summaries refers to a 2024 or 2025 decree on platform delivery workers; no such decree was found in the official sources reviewed, and Law 27.742 contains no platform chapter (unconfirmed). City of Buenos Aires rules on delivery workers (vehicle, safety equipment and registration requirements) are local and are not in the sources; they could not be downloaded from the permitted domains (unconfirmed).

9. Registration and the effects of not registering

• Single registration. An employment relationship is registered when the worker is registered with ARCA under its rules; this registration is sufficient for all purposes and no other authority may require more (Law 24.013 art. 7, as replaced by Law 27.742 art. 82; Decree 847/2024, Annex II, art. 1; Law 27.802 art. 155).
• Effects of non registration. The worker's statements on facts that should have been registered are presumed true (LCT art. 55, as replaced by Law 27.802 art. 22). The employer loses the probation period (LCT art. 92 bis, last paragraph). On a final judgment finding unregistered employment, the court must inform the collection agency within 10 business days so that it can assess the debt and recognise years of service (Law 24.013 art. 7 quater, inserted by Law 27.742 art. 85).
• Credit for contractor payments. If a final judgment finds that a relationship was wrongly framed as a works or services contract, the social security debt is assessed net of the components already paid under the regime used (Law 24.013 art. 7 quater, second paragraph), respecting their original destination (Decree 847/2024, Annex II, art. 2). In practice, monotributo pension and health contributions reduce the debt.
• Worker reports. The worker must report irregular registration (no registration, real start date or real pay) to ARCA as soon as the worker becomes aware of it (Law 24.013 art. 7 ter, as replaced by Law 27.802 art. 98).

10. Penalties for misclassification

• Repealed worker fines. Law 27.742 art. 99 repealed arts. 8 to 17 and 120(a) of Law 24.013, art. 9 of Law 25.013 and arts. 43 to 48 of Law 25.345; art. 100 repealed Law 25.323. Infoleg records the repeal of Law 24.013 arts. 8 to 17 as effective from the day after publication in the Boletín Oficial of 8 July 2024. The content of the repealed articles is not in the source files (unconfirmed). Whether the repeal applies to claims for relationships that ended before 9 July 2024 is a transitional law question not resolved in the sources (unconfirmed).
• What the worker still recovers. All employment rights: severance (LCT art. 245), notice pay (arts. 231 and 232), the rest of the month (art. 233), proportional 13th month salary (art. 123), proportional vacation (art. 156), unpaid SAC and other items within the 2 year limitation period (art. 256), all updated by CPI plus 3% a year from when each amount was due (art. 276, as replaced by Law 27.802 art. 54).
• Litigation limits. Contingency fee agreements require judicial approval and cannot exceed 20% of the claim; costs and fees of the first instance cannot exceed 25% of the judgment or settlement; large companies may pay judgments in up to 6 monthly instalments and SMEs in up to 12, adjusted under art. 276 (art. 277).
• Administrative and tax penalties.
• ARCA fine of ARS 200,000 to ARS 7,500,000 (US$ 128 to US$ 4,796) for employing workers without registering them, in addition to other sanctions; amount set by Law 27.799 art. 29 (BO 2 January 2026). Closure of the establishment for 2 to 6 days where, in an establishment with at least 10 employees, 50% or more of the staff found are unregistered. Both minimum and maximum double for a repeat within 2 years (Law 11.683 art. 40).
• Law 17.250 art. 15: for failing to declare workers or withhold contributions, a fine up to four times the contributions due for those workers; for failing to register as employer, up to three times the previous month's contributions (unconfirmed).
• Income tax and VAT presumption: undeclared salaries are treated as undeclared income plus 10%, and as omitted sales for VAT (Law 11.683 art. 18(h)), except for workers regularised under a legal amnesty.
• REPSAL listing of final sanctions for unregistered work (Law 26.940 art. 2). Listed employers cannot use the RIFL hiring incentive (Law 27.802 art. 160) and a repeat offender is excluded from the Monotributo (Law 24.977 Annex art. 20(k)).
• Amnesty (PER). Employers may regularise unregistered or under registered private sector relationships that began up to the promulgation of Law 27.802, with condonation of at least 70% of contributions and interest, waiver of fines and extinction of criminal action, within 180 days of the regulation's entry into force (Law 27.802 arts. 168 to 176). The regulation is not in the sources (unconfirmed). Employers that used the Law 27.742 amnesty cannot use PER for the same workers (art. 174).

11. Converting contractors into employees: the RIFL incentive

• What it is. For new hires registered between 1 May 2026 and 30 April 2027, the employer pays 2% (instead of 18% or 20.40%) for pensions, employment fund and family allowances, and 3% for PAMI, for the first 48 months (Law 27.802 arts. 156 and 159; Decree 315/2026 art. 1).
• Monotributistas qualify. One of the eligible groups is people who were registered in the Monotributo (art. 157(c)). Decree 315/2026 art. 3 limits this to former monotributistas who had no registered private sector employment at 10 December 2025 or no private sector dependent work in the 6 months before the hire.
• Limits. Not available for workers rehired within 12 months by the same employer; employers listed in REPSAL; or "abusive" use, including substitution of personnel under any form (art. 160). The option must be exercised from the start; it cannot be applied retroactively (art. 162).
• Open question. Whether a company can apply RIFL to people who already worked for it as monotributistas, where the switch could be read as a regularisation of an existing relationship rather than a new hire, is not addressed in the sources (unconfirmed). If the previous relationship was in substance employment, the PER amnesty, not RIFL, is the relevant route.
• FAL. RIFL hires pay the Labor Assistance Fund contribution (2.5% for SMEs, 1% for large companies, from 1 December 2026) without the offsetting reduction of contributions that other workers get (Law 27.802 arts. 60 and 76; Decree 315/2026 art. 8; Decree 1228/2026 art. 2, as summarised at /guide/taxes/payroll/).

12. Foreign remote contractors and foreign clients

Argentine company paying a foreign freelancer who works abroad.

• Labor law. The LCT applies to work performed in Argentina; a non resident who works entirely abroad for an Argentine company is normally outside it, but conflict of laws rules are not covered in the sources (unconfirmed). Foreign nationals who work in Argentina need a residence category that allows work; digital nomad residents may only work for persons or companies abroad (see /guide/labor/foreigners/).
• Income tax. Income is Argentine source when it comes from activities carried out in Argentina (Income Tax Law art. 5). Services performed abroad are therefore generally foreign source. But fees for "technical, financial or other advice provided from abroad" are Argentine source (art. 13, second paragraph). If the payment is Argentine source income of a foreign beneficiary, the payer must withhold 35% as a final tax (art. 102) on a presumed net income (art. 103): 60% of the amount for technical assistance, engineering or consultancy registered under the Technology Transfer Law 22.426 and not obtainable in the country (art. 104(a)(1)), giving an effective 21%; or 90% for income not otherwise listed (art. 104(i)), giving an effective 31.5%. Whether a remote software developer's work is "advice" within art. 13 is a classification question that ARCA and taxpayers dispute; the sources do not settle it (unconfirmed). A double tax treaty with the provider's country may reduce or eliminate the withholding (unconfirmed).
• VAT. Services performed abroad whose effective use takes place in Argentina are taxable when the recipient is a VAT registered taxpayer (VAT Law art. 1(d)); the recipient pays the 21% (art. 28) by reverse charge. Whether and when that VAT is creditable is not covered in the sources reviewed for this page (unconfirmed).
• FX access (BCRA FX rules, Section 13). The bank may give access to the official exchange market to pay services provided by non residents if (i) the client holds documents proving the service exists (point 13.1.1); (ii) for commercial debts, from the due date and, where applicable, declared in the last due filing of the external assets and liabilities survey (point 13.1.2); (iii) the operation is validated in the BCRA online system (point 13.1.5); and (iv) for services provided from 13 December 2023, timing rules are met: unrelated providers can be paid from the date the service was provided or accrued (point 13.2.5); related providers only 90 calendar days after that date (point 13.2.6). Anything else needs BCRA prior approval (point 13.1). Details: /guide/fx/imports-services-payments/ and /guide/fx/exchange-controls/.

Argentine freelancer working for a foreign client (export of services).

• Collections for services provided to non residents must be brought in and converted within 20 business days (BCRA point 2.2.1). Individuals are exempt from converting if the funds are credited to their own foreign currency account at a local bank and the mechanism is fiscally neutral; banks may not charge commissions for this (point 2.2.2.1). A monotributista still counts the income, in pesos, for the category limits (Law 24.977 Annex arts. 3 and 8).
• An Argentine resident working for a foreign company through an "employer of record" or as a contractor is outside the scope of this page's employer side analysis, but the misclassification risk sits with whoever is the real employer in Argentina, and LCT art. 29 makes the registering entity the employer and the user jointly liable.

Step by step

A. Engaging an Argentine individual as an independent contractor

1. Decide whether the role is genuinely independent. List the features of the role against the three notes of dependence: who decides how the work is done (technical), who sets hours, place and discipline (legal), and whether the person depends economically on you (economic). If all three are present, plan to employ. If at least one is genuinely absent, a contractor model is defensible (Law 27.742 art. 97, last paragraph, by analogy).
2. Check the person's tax status. Ask for proof of registration with ARCA (CUIT and Monotributo category or general regime registration). The Monotributo category should match the expected annual fees (Table 2); a contractor who will exceed category K cannot remain in the regime.
3. Write a services agreement under the Civil and Commercial Code, not an employment template. Describe deliverables or services, fees per deliverable or period, the contractor's freedom to organise the work, freedom to work for others, termination by either party, IP assignment and confidentiality. Avoid fixed hours, disciplinary rules, paid vacations or employee benefits, which are evidence of dependence.
4. Require invoices for every payment and pay by bank transfer to an account in the contractor's name. Together these are the facts that switch off the art. 23 presumption.
5. Do not integrate the contractor as an employee (no company email signature as "employee", no inclusion in payroll benefits, no performance reviews identical to staff). These are not statutory tests but are typical evidence in claims (unconfirmed).
6. Monitor monotributo limits. If the contractor's fees approach category K or the contractor is excluded, invoices type C will not be valid for the new status; ask for updated registration.
7. Keep a file. Keep invoices, payment proofs, the agreement and evidence of the contractor's other clients and own tools. These are your defence if a claim arises.

B. Using an independent worker with collaborators (art. 97)

1. The main independent worker and each collaborator register with ARCA under a regime for non dependent activity (Decree 847/2024 Annex II art. 24).
2. Each files the sworn statement on the independent nature of the relationship with ARCA (same article) (unconfirmed).
3. Sign collaboration agreements that allow the collaborator to work for others and allow termination at any time (art. 24(a) and (b)).
4. Keep the count at 3 collaborators or fewer at any time (art. 24(c)).
5. Arrange personal accident cover (optional under art. 24; the unified quota with work risk cover is not yet in force (unconfirmed)).

C. Outsourcing part of the normal and specific activity (LCT art. 30)

1. Identify whether the outsourced work is part of the establishment's normal and specific activity within its premises, or an accessory or supporting activity. Only the former triggers art. 30.
2. In the contract, oblige the contractor to deliver monthly: CUIL of each worker assigned, proof of social security payments, proof of salary payments, each worker's salary account, and the work risk insurance certificate with an endorsement in your favor.
3. Request and check the documents every month; record the request. Requesting and checking exempts you; not requesting makes you jointly liable (art. 30).
4. If the contractor owes social security for the assigned workers, consider withholding from its invoices and depositing on its behalf (LCT art. 136; Decree 847/2024 Annex II art. 5) (unconfirmed).
5. For temporary staff, use only an authorised temporary services company; you remain jointly liable (art. 29 bis).

D. Converting contractors into employees

1. Check RIFL eligibility of each person (Law 27.802 art. 157; Decree 315/2026 art. 3) and the risk that the conversion is read as substitution (art. 160).
2. Consider whether the past relationship was in substance employment. If so, evaluate the PER amnesty once its regulation is in force (Law 27.802 arts. 168 to 176) (unconfirmed).
3. Register each employee with ARCA from the first day (LCT art. 92 bis), sign up for work risk insurance and set up payroll (see /guide/labor/employment-contracts-and-severance/ and /guide/taxes/payroll/).
4. Agree with the person how earlier service will be treated for seniority; recognising prior service increases future severance but reduces litigation risk.
5. The former contractor must cancel or adjust the Monotributo registration; a person who is both employee and monotributista is exempt from monotributo pension and health contributions (Law 24.977 Annex art. 40(4)).

E. Paying a foreign freelancer

1. Obtain a contract and invoices; the bank will need documents proving the service (BCRA point 13.1.1).
2. Decide whether the service is Argentine source (advice from abroad, art. 13) and whether a treaty applies; if so, withhold 35% of the presumed net income and pay it to ARCA (Income Tax Law arts. 102 to 104) (unconfirmed).
3. If the company is VAT registered and the service is used in Argentina, self assess 21% VAT (VAT Law art. 1(d)) (unconfirmed).
4. Check whether the provider is related; if so, wait 90 calendar days from provision (point 13.2.6).
5. If the debt is commercial and reportable, confirm it is in the latest due external assets and liabilities survey (point 13.1.2).
6. Instruct the bank; it validates the payment in the BCRA online system (point 13.1.5).

Costs and timelines

Table 1. Employee, contractor or something else: the main frameworks

Table 2. Monotributo categories and monthly payments from 1 August 2026 (services)

Source: ARCA, "Montos y categorías vigentes", values applicable from 1 August 2026, under Law 24.977 Annex arts. 8, 11, 39 and 52. USD at ARS 1,563.90.

Notes: The ARCA table shows categories I, J and K as applicable to "venta de bienes muebles" in its activity column, while still listing service amounts for them (unconfirmed). Health insurance is for the holder alone; each family member adds the same amount. Exemptions from contributions are listed in Annex art. 40. Other ARCA parameters (surface, electricity, rent, ARS 716,840.77 maximum unit price for goods) are in the source file.

Table 3. Autonomous workers: monthly contributions from 15 October 2026

Source: ARCA, "Trabajadores autónomos. Valores vigentes a partir de octubre 2026".

Higher "categorías de revista" (A to J) range from ARS 61,049.52 to ARS 939,240.20 a month. Which category a given professional must use depends on activity and income rules not in the sources (unconfirmed).

Table 4. Key thresholds and rates

Table 5. Deadlines

Table 6. Timeline of norms

Worked examples

Example 1: a startup engaging 5 monotributista developers versus employing them

Hypothetical. A Buenos Aires software startup, an SME that is not above the "mediana tramo 2" limit, needs five developers for a year from November 2026. Each developer would accept ARS 4,000,000 (US$ 2,558) a month.

Option A: monotributistas.

Step 1. Annual fees per developer. 12 x 4,000,000 = ARS 48,000,000 (US$ 30,692).

Step 2. Category. ARS 48,000,000 exceeds the category F limit (ARS 45,151,659.41) and is within the category G limit (ARS 53,995,798.87), so each developer is in category G (Law 24.977 Annex art. 8; Table 2).

Step 3. Developer's monotributo. Category G services: ARS 230,312.94 (US$ 147) a month, ARS 2,763,755.28 (US$ 1,767) a year. This covers income tax, VAT, pension and health insurance for the holder.

Step 4. Developer's cash after monotributo. 4,000,000 minus 230,312.94 = ARS 3,769,687.06 (US$ 2,410) a month, before personal expenses. There is no further income tax on this activity because the Monotributo replaces it (Annex art. 6).

Step 5. Startup's annual cost for five. 5 x 48,000,000 = ARS 240,000,000 (US$ 153,462). The invoices are type C (no VAT to recover) (unconfirmed), and there are no employer contributions, no 13th month salary, no vacation pay and no severance.

Option B: employees on the same gross salary, general regime.

Step 1. Annual gross per developer. 12 salaries plus the 13th month salary (two halves of 50% of the best monthly salary, LCT arts. 121 and 122): 13 x 4,000,000 = ARS 52,000,000 (US$ 33,250).

Step 2. Unified employer contributions (18%). Base: remuneration less ARS 7,003.68 per month and 50% of that per SAC instalment (Law 27.541 arts. 19(b) and 22), i.e. 13 deductions in a year: 52,000,000 minus (13 x 7,003.68) = 51,908,952.16. 18% = ARS 9,343,611.39 (US$ 5,975).

Step 3. Employer health insurance (6%). 6% x 52,000,000 = ARS 3,120,000 (US$ 1,995) (Law 23.660 art. 16(a)).

Step 4. FAL. From 1 December 2026 the startup pays 2.5% into its own Labor Assistance Fund, but its contributions fall by the same amount (Law 27.802 arts. 60 and 76), so the net cash effect is zero for non RIFL workers. Ignored here.

Step 5. Work risk insurance (ART) and life insurance. Premiums are set by contract with the insurer and are not in the sources (unconfirmed). Excluded from the totals.

Step 6. Annual employer cost per developer. 52,000,000 + 9,343,611.39 + 3,120,000 = ARS 64,463,611.39 (US$ 41,220). Monthly equivalent in a normal month: 4,000,000 + 718,739.34 + 240,000 = ARS 4,958,739.34 (US$ 3,171).

Step 7. Five developers. 5 x 64,463,611.39 = ARS 322,318,056.94 (US$ 206,099).

Step 8. Developer's take home. Employee withholdings are 17% (11% SIPA, 3% PAMI, 3% health), so net is 83% of gross: 4,000,000 x 0.83 = ARS 3,320,000 (US$ 2,123) a month before income tax, which the employer must withhold under the fourth category rules (unconfirmed). The employee also accrues vacation (14 days a year for up to 5 years of service, LCT art. 150) and severance rights.

Option C: employees hired under RIFL. If each developer qualifies under Law 27.802 art. 157 and Decree 315/2026 art. 3 and is registered by 30 April 2027:

• Employer contributions: 2% + 3% = 5% x 52,000,000 = ARS 2,600,000 (whether the ARS 7,003.68 deduction also applies is not addressed (unconfirmed); ignored).
• Health insurance 6%: ARS 3,120,000.
• FAL 2.5% with no offset (Decree 315/2026 art. 8): ARS 1,300,000 (a simplification, since FAL starts on 1 December 2026).
• Total per developer: 52,000,000 + 7,020,000 = ARS 59,020,000 (US$ 37,739); five developers: ARS 295,100,000 (US$ 188,695).

Comparison.

Reading the numbers. The contractor model saves the startup about ARS 16.5 million (US$ 10,527) per developer per year against the general regime, and leaves the developer with more cash. That saving is exactly what a court would claw back if the relationship is reclassified, plus updating and costs (Example 2). The legal defensibility of Option A depends on the facts in step A1 of the procedure, not on the invoices alone.

Example 2: misclassification claim exposure

Hypothetical. One developer from Example 1 actually worked from 1 March 2023 under the CTO's instructions, on fixed hours, exclusively for the startup, invoicing ARS 4,000,000 a month in the last two years (lower amounts earlier). On 15 October 2026 the startup ends the contract without notice. The developer sues, claiming to have been an employee. Assume the court finds dependence despite the invoices (because the facts show legal, technical and economic dependence, so the art. 23 exception does not prevent proof under art. 21) and that no collective agreement cap limits the severance base (unconfirmed).

Part 1. Termination amounts at 15 October 2026.

Step 1. Seniority. 1 March 2023 to 15 October 2026 = 3 years, 7.5 months. A fraction over 3 months counts as a full year: 4 years (LCT art. 245).

Step 2. Severance (art. 245). 4 x 4,000,000 = ARS 16,000,000 (US$ 10,231). The cap (3 times the average CCT salary) cannot reduce the base below 67% of the actual salary; with no binding cap, the full base applies.

Step 3. Notice pay (arts. 231 and 232). Seniority under 5 years: 1 month = ARS 4,000,000 (US$ 2,558).

Step 4. Rest of the month (art. 233). No notice and not the last day of the month: 16 to 31 October = 16 days x (4,000,000 / 30) = ARS 2,133,333.33 (US$ 1,364).

Step 5. Proportional 13th month salary (art. 123). One twelfth of remuneration accrued from 1 July to 15 October: 3 x 4,000,000 + (15/31 x 4,000,000) = 13,935,483.87; / 12 = ARS 1,161,290.32 (US$ 743).

Step 6. Proportional vacation (arts. 150, 155, 156). 14 days a year (seniority under 5 years at 31 December). Fraction of 2026 worked: 288 / 365 days, so 14 x 288 / 365 = 11.05 days. Day value: 4,000,000 / 25 = 160,000. Total ARS 1,767,452.05 (US$ 1,130).

Step 7. Subtotal termination items. 16,000,000 + 4,000,000 + 2,133,333.33 + 1,161,290.32 + 1,767,452.05 = ARS 25,062,075.71 (US$ 16,025). Whether courts also add 13th month salary on the notice and rest of month items is not in the sources (unconfirmed).

Part 2. Items for the period of the relationship.

Step 8. Unpaid 13th month salary within the 2 year limitation period (art. 256). Assuming a claim filed on 1 December 2026, the instalments due on 18 December 2024, 30 June 2025, 18 December 2025 and 30 June 2026 are not time barred. Each equals 50% of the best monthly salary in the semester (art. 121): 4 x 2,000,000 = ARS 8,000,000 (US$ 5,115) (assuming ARS 4,000,000 in each semester). Unpaid vacations from earlier years are not quantified here.

Step 9. Total claim before updating. 25,062,075.71 + 8,000,000 = ARS 33,062,075.71 (US$ 21,141).

Step 10. What is no longer added. Before 9 July 2024 the claim would also have included the Law 24.013 arts. 8 to 15 indemnities and the Law 25.323 increases. They were repealed (Law 27.742 arts. 99 and 100). Their former amounts are not quantified because their text is not in the sources (unconfirmed). For a relationship that ended after the repeal, the sources give no basis to claim them.

Step 11. Updating to payment. Each amount is updated by CPI plus 3% a year from when it was due (art. 276). Illustration only: if the judgment were paid 18 months later and CPI had risen 25% in that period (a hypothetical figure, not a forecast), the total would be about 33,062,075.71 x 1.25 x 1.045 = ARS 43,187,336 (US$ 27,615). Costs and fees of the first instance are capped at 25% of the judgment (art. 277): on the unadjusted claim, up to ARS 8,265,519 (US$ 5,285).

Part 3. Social security exposure.

Step 12. Contributions. Assume total remuneration for March 2023 to October 2026 of ARS 120,000,000 (a hypothetical figure reflecting lower fees in earlier years). Employer contributions at 18% plus 6% = 24% = ARS 28,800,000 (US$ 18,415), before the art. 22 deduction. The employee share (17%, ARS 20,400,000 or US$ 13,044) is a withholding the employer failed to make; whether ARCA can collect it from the employer in full is not stated in the sources (unconfirmed).

Step 13. Credit for monotributo payments. The pension and health components the developer paid as monotributista reduce the debt (Law 24.013 art. 7 quater; Decree 847/2024 Annex II art. 2). Assume ARS 2,500,000: employer debt about ARS 26,300,000 (US$ 16,817) plus interest.

Step 14. Fines. ARCA fine of ARS 200,000 to 7,500,000 (Law 11.683 art. 40), plus any Law 17.250 art. 15 fine of up to four times the contributions (unconfirmed), plus REPSAL listing once final (Law 26.940 art. 2).

Step 15. Effect of the PER amnesty. If the startup regularised under PER before a final assessment, at least 70% of contributions and interest would be forgiven and fines waived (Law 27.802 art. 169). At the minimum 70%, the remaining contributions would be about 30% x 26,300,000 = ARS 7,890,000 (US$ 5,045), payable in cash or up to 72 instalments at no more than 12% a year (art. 172). PER does not reduce the worker's own labor claim (unconfirmed).

Bottom line. Over three and a half years the contractor model saved the startup roughly ARS 16.5 million a year per developer at current pay. A successful claim costs about ARS 33 million before updating, plus up to ARS 26 million of social security debt and fines. The repeal of the old fines removed the multiplier that made misclassification claims ruinous, but reclassification still recovers most of the saving.

Example 3: paying a foreign freelancer from Argentina

Hypothetical. An Argentine VAT registered company engages a freelance designer resident in a non treaty country, working entirely abroad, for US$ 3,000 a month. The designer is unrelated to the company.

Step 1. Source. Design work performed abroad is not an activity carried out in Argentina (Income Tax Law art. 5). If ARCA treated it as "advice provided from abroad" (art. 13), it would be Argentine source (unconfirmed).

Step 2. Withholding if Argentine source. Presumed net income under art. 104(i): 90% x 3,000 = US$ 2,700. Withholding 35% (art. 102): US$ 945, an effective 31.5%. If the contract were for technical assistance registered under Law 22.426 and not obtainable in the country, the presumption would be 60% and the withholding US$ 630 (21%) (art. 104(a)(1)). If the designer insists on receiving US$ 3,000 net, the company must gross up: 3,000 / (1 minus 0.315) = US$ 4,379.56 (unconfirmed).

Step 3. VAT. If the service is used in Argentina, the company self assesses 21% x 3,000 = US$ 630 in pesos (VAT Law arts. 1(d) and 28) (unconfirmed).

Step 4. FX. Unrelated provider: the bank can sell foreign currency from the date the service is provided (BCRA point 13.2.5), with documents (13.1.1) and online validation (13.1.5). If the designer were a group company, the payment would wait 90 calendar days (13.2.6).

Peso equivalents at ARS 1,563.90: fee ARS 4,691,700; withholding at 31.5% ARS 1,477,886; VAT ARS 985,257 (the actual conversion for tax purposes uses the rate set by ARCA rules (unconfirmed)).

Practical traps

1. Invoices are not a shield on their own. The art. 23 exception removes the presumption, not the possibility of proof. Fixed hours, exclusivity, a supervisor, company equipment and paid "vacations" are strong evidence of dependence under art. 21.
2. The "in a situation of dependence" wording cuts both ways. It helps the company, but a worker who proves dependence then benefits from all LCT protections, including the art. 55 presumption in favor of the worker's statements about unregistered facts.
3. Single client contractors. Decree 847/2024 says the number of clients does not matter for the presumption, but economic dependence is still one of the three notes. A contractor billing 100% to you for years is your highest risk.
4. Startup "partners". Giving developers a token shareholding does not avoid employment: LCT art. 27 treats working partners subject to instructions as employees.
5. Monotributo category mismatches. A contractor whose fees exceed the category limit, or whose expenses exceed 40% of the category K limit, is excluded automatically from the day it happens (Annex arts. 20 and 21). Invoices issued afterwards under the wrong status create problems for both sides.
6. Monotributo categories I to K for services. The ARCA table labels I to K as goods categories; check before contracting a high earning service provider (unconfirmed).
7. Normal and specific activity. The art. 30 safe harbour works only if you actually request and check the documents monthly. Keep proof of each request.
8. Temporary agencies. Only authorised agencies; you are jointly liable regardless (art. 29 bis).
9. Art. 97 is not yet a turnkey regime. Without the unified quota, collaborators must be registered individually; work risk cover is not automatic.
10. Platforms: the law says independent, the facts still matter. Title XII declares providers independent and lists rights that are not indications of employment, but a platform that imposes minimum hours, mandatory acceptance or exclusivity departs from the statutory model (arts. 121 and 126). How courts would treat such a platform is untested in the sources (unconfirmed).
11. Platform accident insurance. Art. 126(6) requires access to cover but leaves cost to agreement; platforms should document who pays.
12. RIFL and conversions. Converting existing contractors may be challenged as "substitution of personnel" (art. 160) or as a regularisation rather than a new hire.
13. Foreign source tests. Paying a foreigner "for advice" from abroad can attract 31.5% withholding; paying for work performed abroad may not. The label in the contract matters, but substance prevails.
14. Related party services. Paying a foreign group company or a founder's foreign entity for "contractor" services triggers the 90 day FX wait (point 13.2.6).
15. Digital nomads. A foreigner in Argentina under the digital nomad residence cannot work for Argentine companies (see /guide/labor/foreigners/).
16. CABA and provincial rules. Platform delivery is also regulated locally; national independence does not exempt providers or platforms from city traffic and safety rules (unconfirmed).

Recent changes

• 8 July 2024 (Law 27.742, BO). New art. 23 exception for invoiced works and services; new art. 29 limiting user company liability; art. 97 independent workers with up to 3 collaborators; repeal of Law 24.013 worker fines (arts. 8 to 17) and Law 25.323, effective the next day. Monotributo categories expanded to K with semiannual CPI updating (Law 27.743, same BO).
• 26 September 2024 (Decree 847/2024). Art. 23 rule applies regardless of number of invoices or clients; art. 97 regulated; art. 136 withholding capped; 2024 regularisation regime (90%, 80% or 70% condonation) regulated.
• 2 January 2026 (Law 27.799). ARCA fine for unregistered workers raised to ARS 200,000 to 7,500,000.
• 6 March 2026 (Law 27.802). Art. 23 presumption limited to services "in a situation of dependence"; LCT art. 2 now excludes transport, freight, art. 97 workers and platform providers; art. 30 safe harbour by document checks; art. 31 group liability only with fraud; national platform regime (Title XII); RIFL incentive and PER amnesty; CPI plus 3% updating of labor credits (art. 276); caps on fees and instalment payment of judgments (art. 277).
• 4 May 2026 (Decree 315/2026). RIFL regulated; former monotributistas eligible under conditions.
• 1 August 2026. New monotributo values (Table 2).
• 15 October 2026. New autonomous contributions (Table 3).
• 20 October 2026 (Decree 1228/2026). FAL start moved to 1 December 2026.

Pending changes

• Platform regime regulation. Enforcement authority and any detailed rules under Law 27.802 art. 127 (unconfirmed).
• Art. 97 unified regime. The single monthly quota covering pensions, health and work risk insurance, and the ARCA sworn statement procedure (unconfirmed).
• Art. 23 "banking and other systems". The payment systems that by themselves exclude the presumption have not been set in the sources (unconfirmed).
• PER amnesty regulation. Condonation percentages, filing window and ARCA payment plan (Law 27.802 arts. 169 to 176) (unconfirmed).
• ARCA mechanism for art. 136 withholding (Decree 847/2024 Annex II art. 5) (unconfirmed).
• Judicial interpretation. How labor courts apply the new art. 23 to relationships that began before 6 March 2026 and to claims filed after it, and whether the repeal of the Law 24.013 fines reaches relationships ended before 9 July 2024 (unconfirmed). These are contested points; this page does not predict the outcome.
• CABA delivery worker rules and any provincial platform rules (unconfirmed).
• Constitutional challenges to the labor chapters of DNU 70/2023, Law 27.742 or Law 27.802 (unconfirmed).

FAQ

1. Can I hire someone as a monotributista instead of an employee? You can engage an independent provider who invoices as monotributista, and since the Bases Law the invoices remove the presumption of employment (LCT art. 23). But if the person in fact works under your dependence (your hours, your instructions, only for you), a court can still find an employment contract under art. 21, and you will owe severance and contributions (Example 2).

2. Do the old "unregistered work" fines still exist? No. Law 27.742 repealed arts. 8 to 17 of Law 24.013 and the whole of Law 25.323 (arts. 99 and 100), effective from 9 July 2024 per the Infoleg note. A reclassified worker still gets all ordinary employment rights, updated by CPI plus 3%, and ARCA can still fine the employer (Law 11.683 art. 40) and collect contributions.

3. What is the art. 97 "independent worker with collaborators"? A self employed person who works with up to 3 other self employed collaborators, with no employment link among them, where at least one note of dependence is absent (Law 27.742 art. 97). All must be registered with ARCA and sign a sworn statement; collaborators can work for others and either side can end the relationship at any time (Decree 847/2024 Annex II art. 24). The single monthly contribution the law promises is not yet in place in the sources (unconfirmed).

4. Are delivery riders employees? Under Law 27.802 Title XII, people who deliver goods or carry passengers through apps are independent providers, and the LCT does not apply to them (LCT art. 2(f)). They must be registered for tax and social security (art. 125). Platforms must provide information, training, complaints channels and access to personal accident insurance (arts. 124 and 126). The regulation and local rules are pending (unconfirmed).

5. How much does a monotributista pay? From 1 August 2026, services providers pay from ARS 49,527.18 (US$ 32) a month in category A to ARS 1,614,446.04 (US$ 1,032) in category K, including tax, pension and health insurance (Table 2). Values change every January and July (Law 24.977 Annex art. 52).

6. I outsource cleaning and security. Am I liable for the contractor's workers? Only if those services are part of your normal and specific activity within your premises; accessory or supporting activities are excluded (LCT art. 30). Even then, if you request and check monthly the CUIL, social security payment proofs, salary payment proofs, bank account and endorsed work risk insurance, you are exempt. If you do not request them, you are jointly liable.

7. Is a user company liable for staff supplied by an agency? Yes, jointly, but only for obligations accrued while the workers actually served it (LCT art. 29); for authorised temporary agencies, jointly for all labor obligations (art. 29 bis).

8. Can I turn my contractors into employees with lower contributions? Possibly, through the RIFL: 2% plus 3% instead of the full rate for 48 months for hires registered between 1 May 2026 and 30 April 2027, and former monotributistas are eligible under Decree 315/2026 art. 3. Conversions of existing contractors may be challenged as substitution (Law 27.802 art. 160) (unconfirmed).

9. How do I pay a freelancer abroad? With a contract and invoices, through a bank that validates the operation in the BCRA online system; unrelated providers can be paid from the date of service, related ones after 90 calendar days (BCRA points 13.1 and 13.2). Check income tax withholding (35% on a presumed 60% or 90%, Income Tax Law arts. 102 to 104) if the income is Argentine source, and VAT reverse charge (VAT Law art. 1(d)). See /guide/fx/imports-services-payments/.

10. I am an Argentine freelancer paid in dollars by a foreign client. Must I convert to pesos? Not if you are an individual and the funds are credited to your own foreign currency account at a local bank and the operation is fiscally neutral (BCRA point 2.2.2.1). You still report the income for Monotributo or income tax purposes.

11. How long does a worker have to sue? Two years from when each credit became due (LCT art. 256).

12. Can a foreigner in Argentina on a digital nomad visa work for my Argentine company as a contractor? No. That residence covers remote work for persons or companies abroad only. Hire through a residence category that allows work (see /guide/labor/foreigners/).

Primary sources

• Law 27.802, Labor Modernization Law, sanctioned 27 February 2026, BO 6 March 2026 (arts. 1, 11 to 19, 22, 54, 60, 76, 98, 119 to 128, 155 to 176, 217)). Boletín Oficial notice 3391
• ARCA, Monotributo, "Montos y categorías vigentes", values from 1 August 2026
• ARCA, Trabajadores autónomos, values from 15 October 2026 (and.pdf).
• ARCA, Autónomos home page

Related pages

• Can I hire contractors instead of employees in Argentina?
• How do I hire and pay an Argentine contractor in dollars?
• /guide/labor/employment-contracts-and-severance/
• /guide/labor/foreigners/
• /guide/fx/imports-services-payments/
• /guide/taxes/payroll/
• /guide/fx/exchange-controls/
• Labor: current framework