BOPREAL Series 4: Payment of Tax and Customs Obligations

Legal News - June 18, 2025

On June 16, 2025, the National Executive Branch issued the Decree 384/2025 (the “Decree 384”), published in the Official Gazette on June 17, 2025, and effective as from the date of its issuance, which provides that Series 4 of Bonds for the Reconstruction of a Free Argentina (hereinafter, the “BOPREAL”) issued by the Central Bank of the Argentine Republic (“BCRA”, as per its acronym in Spanish) may be given in payment for the cancellation of overdue tax and customs obligations, plus interest accrued thereto, fines and accessories. The Collection and Customs Control Agency (“ARCA”, as per its acronym in Spanish) shall be in charge of the application, collection and control of this mechanism. In addition, through General Resolution No. 5713/2025, published today, ARCA established the formal procedure for the use of BOPREAL Series 4A bonds as a valid instrument for payment in kind.

Exceptions: The following concepts shall not be paid by means of BOPREAL: (i) social security charges (withholdings and contributions); (ii) health insurance contributions; (iii) work risk insurance; (iv) contributions to occupational risk insurance companies; (v) Tax on Credits and Debits in Argentine Bank Accounts and other transactions; and (vi) obligations arising from substitute or joint and several liability for third party debts or from acting as withholding and collection agents.

Holders of BOPREAL Series 4 may give them in payment at their technical value calculated at the applicable exchange rate.

The computation of the BOPREAL Series 4 value that might be given in payment for the cancellation of overdue tax or customs obligations shall be limited to a total value of USD 1,000,000,000, to be used from 30 April 2028 to 31 October 2028, both dates inclusive.

Furthermore, the Decree 384 expressly recognizes that the right to give BOPREAL in payment constitutes an acquired right that is part of the subscriber’s and/or holder’s property right. Any debt restructuring, whether mandatory or voluntary, will not affect such right.

The BOPREAL shall only be given in payment until the BCRA makes a principal amortization. If the BCRA makes a partial payment of the principal, the BOPREAL shall only be used up to the amount of outstanding principal.

Once the BOPREAL are given in payment for the cancellation of the obligations, the holder shall not be entitled to make any claim to the BCRA.

The Chief of the Cabinet of Ministers shall arrange for the necessary budgetary adjustments so that the amounts corresponding to the Provinces and the Autonomous City of Buenos Aires, due to the payment in kind of tax and customs obligations settled in accordance with this Decree 384, are transferred to them, under the terms of the Law 23548 (Federal Tax Revenue Sharing Regime).