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27 September 2024

Uruguay extends application of reduced VAT rate for tourism sector until 30 April 2025

  • The Ministry of Economy and Finance has extended the value-added tax (VAT) reduction for tourism-related services.
  • This extension is valid through 30 April 2025 for payments made via electronic methods.
 

Through Decree No. 256/024, the Ministry of Economy and Finance has extended, through 30 April 2025, the 9% VAT reduction for certain tourism activities, provided the payment is made with a credit card, debit card or e-money payment instrument. This initiative aims to support the tourism sector by providing financial incentives for transactions made through electronic payment methods.

The following activities are subject to the reduced VAT rate:

  • Gastronomic services provided by restaurants, bars, canteens, cafeterias and other similar establishments
  • Catering services for parties and events
  • Services for parties and events not included above
  • Car rental services without a driver
  • Mediation services in the rental of real estate for tourism purposes

Decree No. 256/024 was published in Official Gazette on 23 September 2024. It can be accessed here (only in Spanish).

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Contact Information

For additional information concerning this Alert, please contact:

EY Uruguay, Montevideo

Published by NTD’s Tax Technical Knowledge Services group; Carolyn Wright, legal editor

Document ID: 2024-1780

 
 

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