Uruguay Wealth Tax Guide 2026

IPRF for Individuals — 0.7% to 2.8%

The IPRF for individuals is a progressive wealth tax that applies primarily to real estate holdings:

• Exemption threshold: Net wealth up to approximately UYU 13 million is exempt
• Scope: The tax applies mainly to real estate properties (urban and rural). Financial assets (shares, bonds, bank deposits) are generally exempt for individuals
• Progressive rates: 0.7% to 2.8% on net wealth exceeding the exemption threshold
• Net wealth: Total assets minus debts and liabilities related to those assets
• Valuation: Real estate is valued at cadastral value (valor catastral) or market value, depending on the type of property

IPRF for Companies — 1.5% to 1.75%

• Rate: 1.5% to 1.75% on net assets (total assets minus liabilities)
• Scope: Applies to all corporate assets, including real estate, financial assets, inventory, receivables, and intangible assets
• Deductions: Debts and liabilities related to the business can be deducted from total assets
• Filing: Filed annually as part of the corporate tax return (IRAE)
• Certain assets may be exempt or subject to reduced rates under specific regimes

Taxable Assets for Individuals

• Real estate: Urban and rural properties are the primary taxable assets for individuals
• Primary residence: May be exempt or subject to a lower effective rate up to a certain value
• Financial assets: Generally exempt from IPRF for individuals (shares, bonds, mutual funds, bank deposits)
• Vehicles: May be subject to IPRF depending on value
• Other assets: Artwork, jewelry, and other valuable personal property may be subject in certain circumstances

Filing and Payment

• Filing period: Annual, filed together with the IRPF (individual) or IRAE (corporate) tax return
• Deadline: June 30 for individuals, April 30 for companies
• Payment: Tax due can be paid in a single installment or through the DGI online payment system
• Non-compliance results in fines, interest, and potential inclusion in the DGI non-compliant list

Wealth Tax Planning Considerations

• Asset mix: Since financial assets are generally exempt for individuals, holding wealth in shares, bonds, and bank deposits rather than real estate can reduce IPRF exposure
• Debt optimization: Properly structured debts related to taxable assets can reduce net wealth for IPRF purposes
• Corporate structure: Holding real estate through a company may change the IPRF treatment (corporate vs individual rates)
• Free zones: Assets held by free zone companies may benefit from reduced or exempt IPRF treatment

FAQs

Does Uruguay have a wealth tax?

Yes, Uruguay imposes the IPRF (Impuesto al Patrimonio) on individuals (0.7-2.8% on net wealth above ~UYU 13M, primarily on real estate) and companies (1.5-1.75% on net assets). Financial assets are generally exempt for individuals.

Is my primary residence subject to IPRF?

Your primary residence may be partially exempt or subject to a reduced IPRF rate up to a certain value. The exemption threshold and conditions are set by the DGI and updated periodically.

Are foreign assets subject to Uruguayan wealth tax?

For tax residents, foreign real estate and certain other foreign assets may be subject to IPRF. However, financial assets held abroad are generally exempt for individuals. The treatment of foreign assets depends on the type of asset and applicable regulations.

Disclaimer

This guide provides general information about Uruguay's IPRF wealth tax for 2026. Rates, thresholds, and exemptions may change. Always consult a qualified Uruguayan contador or the DGI for specific guidance. InvestmentKit does not provide tax advice.