Renting and selling a home stops paying Income Tax

What changed

The tax chapter of the Labor Modernization law (Law 27,802, Title XXIV) exempts from income tax, for individuals and undivided estates, two kinds of real estate income; Decree 406/2026 regulates the conditions by replacing Art. 83 of the implementing regulations (Decree 862/2019) and adding two unnumbered articles: (1) LEASE/SUBLEASE for residential use ('casa-habitación') — exempt income (Art. 26(n) of the Income Tax Law), with no cap on the number of units ('it covers all the units the individual devotes to that use'), including furniture, fixtures and services paid by the tenant; 'casa-habitación' is defined as the property used as the sole, family, permanently occupied dwelling of the person living in it, and the exemption applies 'as long as the property serves exclusively as the casa-habitación of the respective tenant or subtenant'; (2) SALE of real estate and transfer of rights over real estate — the result is exempt when the transaction falls under Art. 99 of the Income Tax Law. Effective from Jan 1, 2026. verif · Jun 1, 2026 ↗

In force

2026-01-01 (effects; decree published Jun 1, 2026) verif · Jan 1, 2026 ↗

Who it affects

Owners who rent out housing (small landlords and multi-property owners, with no cap on units), sellers of real estate and assignors of rights over real estate (residents and non-residents), developers and real estate agencies. Negative flip side: legal entities that rent property to individuals cannot deduct those rents (a feature of the law per specialized press, not checked against the primary source ourselves). prob · Jun 1, 2026 ↗

The norm

Ley 27.802 (Modernización Laboral, BO Mar 6, 2026), Title XXIV, Chapter II (art. 192) + Decreto 406/2026, issued on May 29, 2026 and published in the BO on Jun 1, 2026 (signed by Milei/Adorni/Caputo). The decree replaces art. 83 of the Income Tax regulation (Dto 862/2019) and adds two unnumbered articles following arts. 83 and 204. verif · Jun 1, 2026 ↗

Our reading

Where it lands, province by province2

Neuquén The real estate market of the Vaca Muerta corridor (Añelo–Neuquén city) is among the tightest in the country: exempting rental income from income tax improves the return on building to rent precisely where the boom's housing deficit is a bottleneck (it connects with the housing/lodging niche of the induced economy). favorable without controls, supply responds to the boom thesis

Río Negro The same mechanism in the corridor's dormitory towns (Cipolletti, Allen, Fernández Oro) and the Alto Valle: more incentive to bring units into the formal rental market for the basin workforce living in Río Negro. favorable without controls, supply responds to the boom thesis

The other rules on this subject19

Fiscal Package: asset declaration, moratorium and tax cutsLaw 27.743 (Official Gazette Jul 8, 2024)in force

Fiscal anchor: surplus two years in a rowExecutive execution policy on the extended budget (Decree 1131/2024)in force

Payment to holdouts: closing the 2001-default lawsuitsLaw 27.818 (promulgated by Decree 564/2026, Official Gazette Jul 1, 2026)in force

The "lock on the State": fiscal balance by lawLaw 27.798 (2026 Budget), art. 1 — in force; the permanent "lock on the State" still a billpending

PAÍS Tax: it rose, fell and expiredDecree 29/2023 + Decree 777/2024 (expiry of Law 27.541, 12/23/2024)in execution

Fiscal Innocence: less prison exposure and less tax-agency pressure for the compliantLaw 27.799in force

See all 19 under «Fiscal and monetary anchor» →

Renting out and selling housing no longer pays income tax

What changed and who it applies to

Our reading

Where it lands, province by province2

The other rules on this subject19

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