Argentina’s Tax Identification Numbers will now be generic & non-binary
Argentina’s tax authority (the AFIP) has confirmed the implementation of a new tax identification number prefix format for individuals. The Argentinian TIN (CUIT) will continue to follow the social security number (CUIL) structure (described below). However, The prefixes used to generate the new CUIT and CUIL numbers will now be randomly assigned. The practical implications are that the government will no longer associate an individual tax ID with a government-assigned gender.
"The prefixes used to generate the new CUIT and CUIL numbers will be randomly assigned. With this, both keys will be generic and non-binary in terms of sex/gender.”
(AFIP July 12, 2022)
Background
Up until now the number format consisted of a two-digit prefix followed by eight digits from the national ID number, and concluded with a check digit:
- ##-12345678-X
Previously, the two-digit prefix indicated the government-assigned gender of the individual. Generally, the government prefixes worked as follows:
- 20 identified a man; while
- 27 identified a woman,
In some edge cases the numbers 23, 24, 25, and 26 were also applied.
The social security organization (ANSES) had already decided to stop employing the gender logic regarding the CUIL in 2021 and began assigning those prefix digits randomly. The AFIP recently confirmed that they have now implemented the same approach for the CUIT.
Practical implications
Given that the government ID’s prefixes will now be assigned at random, the individuals' TIN will no longer indicate the government-assigned gender of the person. Accordingly, companies that relied on this enhanced method of KYC checks will need to update their processes to reflect this change. Specifically, companies should seek to validate ID’s past the government databases where possible.
How can Fonoa help?
Fonoa allows companies to perform tax ID validations seamlessly in over 75 countries globally and get a complete insight into their customer/supplier tax profile. With Lookup, Fonoa’s Tax ID validator, you can validate any CUIT in Argentina via our API and our dashboard (in bulk and individually) and find out all the relevant details of your customer. Get in touch to start using Lookup right away.