Uruguay

South America · UY · 16 treaties

Tax profile

What makes you a tax resident — and how hard it is to stop being one.

• presence in Uruguay for more than 183 days in the civil (calendar) year, counting sporadic absences up to 30 days unless fiscal residence in another country is proven
• main nucleus or base of activities, or economic or vital interests located in Uruguay (substantial criteria)
• presumption of vital interests when spouse and dependent minor children habitually reside in Uruguay
• base of activities presumed when income generated in Uruguay is greater than in any other single country (excluding cases of exclusively passive income)
• economic interests via investment in real estate in Uruguay exceeding 15 million Indexed Units
• economic interests via direct or indirect investment exceeding 45 million Indexed Units in a company with projects or activities promoted by the Investment Law
• economic interests via investment in real estate exceeding 3.5 million Indexed Units made from 1 July 2020 plus at least 60 days of physical presence in Uruguay in the calendar year
• economic interests via direct or indirect investment exceeding 15 million Indexed Units in a company, made from 1 July 2020, creating at least 15 new full-time dependent jobs during the year

Ending Uruguayan tax residency generally requires ceasing to meet any of the statutory tests and, where relevant, proving tax residence in another country to avoid day-count and investment presumptions, so it is not as simple as just leaving but there is no citizenship or long-term domicile tail. Significant investments or family remaining in Uruguay can continue to trigger residency until those ties are reduced or evidence of foreign tax residence is provided.

Source: Dirección General Impositiva (DGI), Uruguay – via OECD official guidance

Tax treaty network (16)

In-force double-tax treaty partners. Treaty-reduced withholding (dividends / interest / royalties) shown where the official source publishes a rate; otherwise the country's statutory rate applies unless the treaty text provides a reduction.