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07 July 2026

Uruguayan Executive Branch submits bill to approve Double Taxation Treaty with Turkiye

  • A bill, submitted to Parliament on 16 June 2026, seeks approval of the Double Taxation Treaty between Uruguay and Turkiye, as well as an amendment proposed by the Embassy of the Republic of Turkiye.
  • The amendment modifies the definition of "Uruguay" for treaty purposes by clarifying that the term includes the land territory, airspace and maritime areas under Uruguay's jurisdiction, in accordance with international law, and removes references to domestic legislation.
  • The treaty and its amendment will enter into force once both countries complete their respective ratification processes and exchange the corresponding notifications through diplomatic channels.
  • Businesses with cross-border activities involving Uruguay and Turkiye should monitor the ratification process, as the treaty may affect withholding tax exposure, treaty eligibility and tax planning once it becomes effective.
 

On 16 June 2026, the Uruguayan Executive Branch submitted a bill to Parliament

seeking approval of the Double Taxation Treaty (DTT) between Uruguay and Turkiye, which both countries had signed on 12 November 2024, as well as an amendment proposed by the Embassy of the Republic of Turkiye. (For background, see EY Global Tax Alert, Uruguay presents bill proposal to approve double taxation treaty with Turkiye, dated 7 April 2025.)

The amendment, agreed through an exchange of diplomatic notes in 2026, modifies the definition of "Uruguay" for treaty purposes and is included in the bill submitted for parliamentary approval. In particular, it clarifies that "Uruguay" includes the land territory, airspace and maritime areas under its jurisdiction, in accordance with international law, removing references to domestic legislation.

The treaty and its amendment will enter into force once both countries complete their respective ratification processes and exchange the corresponding notifications through diplomatic channels, in line with Article 29 of the treaty. 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

Ernst & Young LLP (United States), Latin American Business Center, New York

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

Document ID: 2026-1431

 
 

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