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List of incentives available in this location for quick easy reference below.

Incentives

Table key

• Incentive offered
• Incentive not offered
• Did not submit information

Cash grants/incentivesMore [+]Less [-]
Although there is no established process for cash grants, the government does provide incentives on an ad-hoc basis.
Tax exemptionsMore [+]Less [-]
Investment projects may qualify for corporate income tax rebates ranging from 51% to 100% of the amount invested, plus rebates of other taxes. Temporary Admission (similar to a drawback regime). Allows companies to import inputs for the productive process free of tariffs for up to 18 months, as long as these are then incorporated to products to be exported or used in the process (e.g. containers and packing material). Free Zones: Areas exempt from corporate income and wealth tax as well as from any other tax created or to be created in the future. The introduction of goods into the free trade zones is exempt from all import levies. Free Port/ Airport: Free transit of goods. Goods are exempt from all import levies within port.
Property assistance / other fiscal incentiveMore [+]Less [-]
Uruguay XXI, Uruguay’s Investment and Export Promotion Agency, helps foreign investors during the whole localization process, including presenting the company with several location alternatives.
Training and labor market assistanceMore [+]Less [-]
The government provides incentives on an ad-hoc basis, especially through the state technical university UTU. For example, the municipality of Rio Negro together with technical university UTU trained welders for $1.4bn pulp mill Botnia (now UPM). There exists a corporate-income-tax-related benefit: training expenses can be deducted at 150% of the amount spent.
Loan guarantees, cheap loans or financeMore [+]Less [-]
The Central Bank of Uruguay has an export financing regime in place to pre-finance (the acquisition or production of merchandise for export) and post-finance (the placement of merchandise abroad until collection time) the export of goods via an automatic system. This system allows the exporter to obtain financing at beneficial rates.
Exemptions from regulationsMore [+]Less [-]
Investment Law Nº 16,906 (from January 1998): investments by foreign investors do not require prior authorization or registration and there is free transferability of capital and profits from foreign investments in Uruguay. There are no FX restrictions (i.e. currency can enter and leave the country freely).
Target sectorsMore [+]Less [-]
Manufacturing sector (e.g. agricultural equipment, auto parts, naval parts and manufacturing for exports in general) Services sector (e.g. software, business processes outsourcing and knowledge processes outsourcing) Logistics sector
Sectors specific incentivesMore [+]Less [-]
Exemption of corporate income tax (and of other minor taxes, including import duties) to: Manufacturers of agricultural equipment (90% exemption until 2014 and 50% from 2015 to 2019). Exemption of corporate income tax (and of other minor taxes, including import duties) to: Call centers (100% exemption for 10 years, as long as the company creates at least 150 new direct skilled jobs and the services are for export). Exemption of corporate income tax (and of other minor taxes, including import duties) to: Software and related services (100% exemption, as long as the services are for export). Exemption of corporate income tax (and of other minor taxes, including import duties) to: Other strategic industriessuch as shipbuilding and the electronic industry (e.g. logic controllers, computers, telecommunication equipment, medical equipment, medical instruments or household appliances): 100% exemption in 2009-2014, 75% in 2015-2016 and 50% in 2017-2018, subject to the creation of 150 new direct skilled jobs and the implementation of a suppliers development program). Exemption of corporate income tax (and of other minor taxes, including import duties) to: the forestry, tourism, hydrocarbons and biofuels industries which have broad tax exemptions.

Sponsorship

If you are the authorised promotions agency for Uruguay and would like to have your location highlighted on fDi Atlas, you can contact our sales team on + 44 (0) 207 775 6667 or contact us here.