By means of General Resolution No. 1/2014 the Public Registry of Commerce of the City of Buenos Aires modified General Resolution No. 7/2005 regarding companies from countries, domains, jurisdictions, territories, associated states and special tax regimes, considered as non-cooperative in fiscal transparency or in the fight against asset laundering and terrorism financing.

On April 10, 2014 the Official Gazette published General Resolution No. 1/14 (“Resolution 1”) issued by the Public Registry of Commerce of the City of Buenos Aires (the “IGJ”) by means of which sections 192 and 288 of General Resolution No. 7/2005 (“Resolution 7”) were modified. Resolution 1 entered into force on April 11, 2014 (Section 3).

It is important to remember that Resolution 7 already stated in section 193 that the IGJ will not register in the Public Registry of Commerce, pursuant to section 118, third paragraph and 123 of the Argentine Companies Law No. 19,550, “off-shore” companies from jurisdictions of such character and that any interpretation in this regard would have to be restrictive.

This amendment of Sections 192 and 288 of Resolution 7 followed the necessity of adding new precepts stated in Decree No. 589/2013 (regulation regarding Income Tax) and Resolution AFIP No. 3576/2013, both regulations related to foreign companies incorporated in countries with null or low taxation.

In this regard, pursuant to the modifications, instead of mentioning those jurisdictions considered as null or low taxation, now it includes those companies from countries, domains, jurisdictions, territories, associated states and special tax regimes, considered as non-cooperative in fiscal transparency or in the fight against asset laundering and terrorism financing.

Therefore, the updated regulation of the IGJ is more rigorous and has broader control of foreign companies incorporated abroad that might be considered to be non-cooperative both in asset laundering and terrorism financing.

For the reasons explained above and to avoid any problems regarding the registration of foreign companies that may be subject to this new regulation, it would be very important to review and analyze (in a restrictive way) any information and/or documentation from such foreign companies.