Uruguay’s tax authority on 12 October 2018 introduced compliance and tax-payment rules (Resolution No. 9270/2018) relating to taxation of the digital economy.
Law 19.535 (effective 1 January 2018) introduced rules for the tax treatment of the digital economy and the taxation of foreign companies doing business in Uruguay through the internet, IT platforms, and software applications. Under Law 19.535, some exceptions to Uruguay’s territorial system were introduced—specifically, services related to businesses involved in the digital economy were identified as being subject to income tax and value added tax (VAT) in Uruguay even if the services were provided from a foreign jurisdiction.
In May 2018, the tax authority issued a decree to implement the rules introduced by Law 19.535, thus affecting multinational corporations operating in the digital economy space or providing digital economy services in Uruguay. Read TaxNewsFlash
The Uruguay tax authority in issuing Resolution No. 9270/2018 established compliance and payments rules under Law 19.535. For instance, the resolution provides the following procedural guidance:
For more information, contact a tax professional with KPMG’s Latin America Markets practice or with the KPMG member firm in Uruguay:
Alfonso A-Pallete | +1 (305) 913 2789 | email@example.com
Gustavo Melgendler | +598 290 245 46 | firstname.lastname@example.org
Luis A. Aisenberg | +598 290 245 46 | email@example.com
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