On June 30, 2016 decree No. 820/2016 was published in the
Official Gazette. This decree modifies decree No. 274/2012, which
in turn regulates Law No. 26.737 which imposed restrictions and
limits to the acquisition and ownership of rural lands in Argentina
by foreign individuals and legal entities.
The decree is aimed to increase flexibility and to clarify
certain issues which raised doubts and made the application of the
regime difficult.
The main changes are as follows:
- a legal entity shall be considered as
foreign when foreign individuals or legal entities, whether
directly or indirectly, represent the majority of the votes,
regardless of their shareholding or interest held. For the purpose
of this regime, except for evidence revealing otherwise, a legal
entity shall be considered as foreign when a foreign person or
entity – or more than one in case of joint control
–holds 51% of the shareholding or interest. Complex
interpretative issues derived from prior
