My experience tells me the no VAT scheme for Tourists is working well. I know of small non-Chain hotels that offer a transparent system of quotes and will not charge VAT on rates reserved and paid with a non-Argentine Credit Card and with proof of Passport and Immigration Stamp.... so in these cases, there is no refund but a net (ie. no VAT) charge of the Room rate.
My most recent experience with this was at the Fierro Hotel.