Law No. 27,802 excludes RSUs, stock options, and other equity-based compensation from the employer social security contribution base, subject to a 5% cap on annual gross remuneration.
The legislation known as the “Labor Reform and Modernization Law” (Law No. 27,802) introduced several significant changes to Argentina’s labor framework.
One of the key changes is the exclusion of Restricted Stock Units (RSUs), stock options, and other equity-based compensation plans from the remuneration basis used to calculate employer social security contributions. This provision was incorporated into Article 105(b) of the Labor Contract Law.
In addition, Executive Order No. 407/2026 (Annex I, Article 3) introduced a cap on this exemption, limiting the amount excluded from the social security contribution base to 5% of the employee’s annual gross remuneration.
However, there is currently uncertainty regarding how this 5% cap should be calculated and applied in practice.
For a deeper discussion on the above, please reach out to your Vialto Partners’ point of contact, or alternatively:
Lilian Andrea Falcon
Director
Javier Fernandez Biondi
Senior Manager
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