On 11 January 2018, Law No. 5,927 was published in the Official Gazette of the City of Buenos Aires (the Law), creating, among other things, the City of Buenos Aires Technological District (the District).

The Law creates the District in the Southern Zone of the City, benefiting individuals or entities that are located or plan to relocate to the District (the Beneficiaries) and develop any of the following activities:

1) Development, maintenance and/or update of software products, taylor made software, embedded or inserted software, web sites, platforms or applications, both web and mobile intended for the use of third parties.

2) Computer services aimed to improve the security of equipment and networks, the reliability of programs and software systems, quality of data systems and the management of information and knowledge in organizations, among others, just like computer services linked to business process for the use of third parties (shared services centers).

3) Design services, encoding, implementation, remote support, troubleshooting, addition of functions and guarantees or software advice, technological consultancy services, technological outsourcing services, nanotechnology services, biotechnology services, 3D printing services and automation services.

4) Update, improvement and training of users with respect to a software product or additional developed functionality.

5) Update, improvement and training of professors and students of the educational system focused on Information and Communication Technologies (ICT).

6) Hardware production, defined as the complex manufacturing and/or assembly parts, parts, or components of computer equipment.

7) Accelerators, incubators and providers of collaborative spaces for start-ups and entrepreneurs on the technology area.

The Law grants to the beneficiaries different types of tax benefits in the field of Gross Receipt Tax, Stamp Tax, Real Estate Tax, Municipal Lighting, Sweeping and Cleaning Tax, construction fees, subsidies and Educational Plan.

It should be noted that the obtention of the benefits granted by the Regime is subject to the prior registration with a registry created for that purpose, and proper compliance with national and local tax obligations.