Uruguay

Uruguay is a stable democracy in the Southern Cone, with Montevideo as its capital and principal commercial center.

Tax system snapshot: Uruguay generally taxes residents primarily on Uruguayan-source income. Foreign-source income is often outside the resident tax base, but foreign-source investment income (notably dividends and interest) can be an important exception.

• Employment income: Resident individuals are generally subject to IRPF on labour income on a progressive scale, with a top rate of 36%.
• Capital and investment income: Dividends and many capital income items are commonly taxed at 7% or 12% depending on the nature and source of the underlying income. Capital gains can fall under the capital-income rules and are commonly taxed at 12%.
• Net wealth: Uruguay levies a net wealth tax (headline 0.1% rate for residents in PwC summaries; higher rates can apply for certain non-residents).
• Inheritance: Uruguay is generally treated as having no standalone inheritance tax. Transfers of Uruguayan assets can still trigger other taxes or costs (for example, real estate transfer taxes), depending on the asset and transaction.

Immigration and residency: legal residence is handled by Uruguay's Dirección Nacional de Migración (Ministry of Interior). Processes are documentation-driven (identity, police certificates, proof of ties/means). Official processing timelines are not always fixed and can vary by case and office.