DoubleTaxationTaxes on salary: Uruguay preliminary data
How much income tax and social contributions are paid on a salary in Uruguay, what a sole proprietor and a company pay, and which special regimes exist. Preliminary data.
Preliminary data: headline rates from official sources and bulletins of international organisations, without reliefs or special rules; being refined.
Calculation for a gross salary of €60,000 per year
| Gross salary | UYU 2,734,697 ≈ €60,000 |
|---|---|
| Income tax | UYU 403,803 ≈ €8,860 |
| Employee contributions | UYU 536,001 ≈ €11,760 |
| Take-home pay | UYU 1,794,893 ≈ €39,380 |
| Employer contributions and payroll taxes | UYU 345,255 ≈ €7,575 |
| Employer's labour cost | UYU 3,079,952 ≈ €67,575 |
Only some of the country's direct taxes and levies are counted: income tax on wages and compulsory contributions. Not counted: property and real-estate taxes; taxes on dividends, interest and other investment income; inheritance and gift taxes; indirect taxes such as VAT, excise and customs duties.
Taxes for sole proprietors and companies
Tax and contributions on the profit for a year; expenses are 10% of revenue, the company pays its profit out to the owner. Reliefs and local taxes are not included.
| Annual revenue | €30,000 UYU 1,367,348 | €60,000 UYU 2,734,697 | €120,000 UYU 5,469,394 |
|---|---|---|---|
| Sole proprietor | UYU 85,750 7.0 % | UYU 380,656 15.5 % | UYU 1,011,946 20.6 % |
| Company | UYU 372,261 30.3 % | UYU 744,521 30.3 % | UYU 1,489,042 30.3 % |
| Sole proprietor · Pequeña empresa - IVA mínimo | UYU 70,920 5.8 % | above the regime's limit | above the regime's limit |
Special tax regimes
Opción IRNR para nuevos residentes fiscales (tax holiday)
For people relocating · rate 0.0 %
Who: Individuals who become Uruguayan tax residents from 1 Jan 2020 and were not resident in the preceding year; one-time irrevocable option.
Foreign-source capital income (interest, dividends) exempt for the year of arrival plus 10 following years; Uruguayan labour income still under IRPF.
Legal basis: Título 7 TO 2023 art. 24; Decreto 148/007 arts. 5 quater-5 quinquies; Ley 19.937
Opción IRPF 7% sobre rentas de capital del exterior (nuevos residentes)
For people relocating · rate 7.0 %
Who: New tax residents choosing this alternative to the IRNR tax holiday.
Foreign-source capital income taxed at 7% instead of 12%, with no time limit.
Legal basis: Título 7 TO 2023 art. 24; Decreto 148/007
Tax residence
The tax residence check does not cover Uruguay yet.
Assumptions
- Calculated with the OECD Taxing Wages methodology: income tax including local taxes plus employee social security; single person without children, tax year 2026, ECB rate of 2 January 2026.
- Exchange rate: 1 EUR = 45.578281 UYU (DGI — Cotizaciones interbancarias (BCU interbank USD rate), 2026-01-02) ↗
Sources
- BPS — Comunicado R 5/2026, valores y escalas IRPF 2026
- BPS — Tasas (industria y comercio)
- BPS — Tributación y recaudación de contribuciones especiales de seguridad social (2026 ed.)
- DGI — Tax holidays: opción para nuevos residentes fiscales
- DGI — Documento IRPF-IASS 2024
- DGI — Comparación de Pequeña Empresa y Monotributo (2026 values)
- Uruguay XXI — Guía del inversor: sistema tributario
- DGI — Cotizaciones interbancarias
Data checked: 2026-11-08. An indicative calculation for a typical case. Not tax advice.