Uruguay · Legal and tax residency
Residency in Uruguay, explained simply
Uruguay has no golden visa and does not sell citizenship. What you can get is legal residency, with no investment required, and, separately, tax residency and a tax holiday of up to 11 years. Here is what each one means, what it costs and who it suits.
USD0
Investment required for legal residency. You only pay the fee, about USD 92
183days
Just over half a year. Spend more than that in Uruguay in a calendar year and you become a tax resident
11years
Maximum length of the tax holiday for new tax residents
3 to 5years
Living in Uruguay before you can apply for citizenship
What you can get
Three different things that often get mixed up
Many people think buying a home in Uruguay gets them everything. It doesn’t. There are three separate things, each with its own rules, and you can have one without the others.
To live there
Legal residency
Lets you live in Uruguay and gives you a Uruguayan ID card (cédula). Open to any nationality. It is permanent from day one.
- No investment required. On the general track you show you can support yourself, but the law sets no minimum amount.
- If you’re from a MERCOSUR member or associated country (Argentina, Brazil, Chile, Colombia or Peru, among others), there is a simpler MERCOSUR track.
- From any other country, such as the United States, Russia, Germany or China, you go through the general track.
- You’ll need a valid ID document, a criminal record certificate covering the last 5 years with an apostille, a health card (carné de salud) and vaccinations.
- The government fee is about USD 92.
- You can lose it if you spend more than 3 years outside the country.
To pay tax there
Tax residency
Decides whether Uruguay taxes you as a resident. It doesn’t let you live there: for that you also need legal residency.
- The simplest way: spend more than 183 days in Uruguay in a calendar year.
- It also applies if your spouse or dependent minor children live there, or if you earn more in Uruguay than in any other country.
- Or by investing. For example, property worth more than UI 3.5 million (about USD 576,000), plus more than 60 days a year in the country and the other legal conditions. See every route.
- Since 2026, if you’re a tax resident, Uruguay taxes more types of income you earn abroad: what your investments and properties pay you, and what you gain when you sell them.
- You prove it with a certificate from the DGI, Uruguay’s tax authority. The documents depend on how you qualified: for days spent there, your entry and exit records work.
An extra, if you qualify
Tax holiday
For up to 11 years, some of your income is taxed under the non-resident income tax (IRNR) instead of the resident one (IRPF). In other words, for that income Uruguay treats you as if you didn’t live there. It doesn’t come with tax residency: you first need to become a tax resident and then meet separate requirements.
- It’s for people who become tax residents from January 1, 2026, and weren’t tax residents in the 2 previous years.
- You must also meet one of three conditions: spend more than 183 days there every year, invest more than UI 12.5 million (about USD 2.06 million) in urban property, or put at least UI 625,000 a year (about USD 103,000) into certain funds.
- It covers the year you arrive and the next 10.
Uruguay doesn’t sell it. You can apply after living there 3 years if your family is established in the country, or 5 if not, without leaving for more than 6 months in a row.
It lasts 180 days and can be renewed once. It’s a good way to try living there, but on its own it doesn’t make you a tax resident.
Words you’ll see on this page
We explain them once so the rest is easy to follow.
- Legal residency
- Permission to live in the country. Granted by Migración (Dirección Nacional de Migración), the immigration authority.
- Tax residency
- Being a resident for tax purposes. It decides whether Uruguay taxes you as a resident. Defined by the DGI, the tax authority.
- Tax holiday
- An optional regime of up to 11 years for new tax residents.
- Cédula
- The Uruguayan ID card. You get it with legal residency.
- MERCOSUR
- A South American bloc with full members and associated countries (such as Chile, Colombia or Peru). Their citizens have a simpler residency process.
- Apostille
- An international stamp that makes a document from your country valid in another.
- UI (Unidad Indexada)
- The indexed unit Uruguay uses to set tax thresholds. It rises with inflation, so amounts here are in UI, with an approximate dollar equivalent as of September 2026.
- Department
- Uruguay’s regions are called departments (departamentos), like provinces or states elsewhere.
Taxes
If taxes matter to you, here are the numbers
If you only want to live in Uruguay or have a plan B, you can skip this part. If you want to lower your taxes, these are the 2026 rules.
Ways to become a tax resident
| Route | What you need to do | Approx. in USD |
|---|---|---|
| Living there | More than 183 days in the calendar year | No investment |
| Your family | Your spouse or dependent minor children live in Uruguay. This is presumed, but it can be rebutted | No investment |
| Your income | You earn more in Uruguay than in any other country | No investment |
| Property and visits | Property worth more than UI 3.5 million and more than 60 days a year in the country, meeting the other legal conditions | USD 576,000 |
| Property only | Property worth more than UI 15 million | USD 2.47 million |
| Company | More than UI 15 million in a company that creates at least 15 new jobs, or more than UI 45 million in a company with a promoted investment project | USD 2.47 or 7.4 million |
Investing in funds (UI 625,000 a year) is not on this list: it doesn’t make you a tax resident, it only counts toward the tax holiday. None of these routes gives you the tax holiday on its own. If you spend more than 183 days there every year, you can apply for it without investing. With the other routes, you must separately meet one of the conditions in the next table.
Ways to qualify for the tax holiday (one is enough)
| Route | What you need to do | Approx. in USD |
|---|---|---|
| Living there | More than 183 days every year | No investment |
| Property | More than UI 12.5 million in urban property bought from January 1, 2026, different from the property you used to become a tax resident. In departments without a coastline on the Río de la Plata or the Atlantic, the value the law recognizes for the property (its tax cost) counts 50% higher | USD 2.06 million on the coast; less inland, depending on the property’s tax cost |
| Funds | At least UI 625,000 a year in funds that finance productive projects, or research and innovation applied to production. Which funds qualify and how you prove it depends on rules still to be set | USD 103,000 a year |
For all three, you must have become a tax resident from January 1, 2026, and not have been one in the 2 previous years. Thresholds are set in UI, not in dollars. Dollar figures are approximate: they use values from September 25 and 26, 2026 (1 UI ≈ USD 0.165) and change with inflation and the exchange rate. Sources: Decree 148/007 (arts. 5 bis, 5 sexies and 5 septies), DGI, Law 20,446 (art. 648) and Decree 188/026.
If you use a property to become a tax resident, you can’t use that same one for the tax holiday. Tax holiday properties must be different ones, bought from 2026. That’s why it pays to decide the order before buying.
First, how you’ll become a tax resident. Second, whether you want the tax holiday. Third, which route you’ll use for it. And fourth, whether your properties, purchase dates, days in the country and paperwork let you prove each requirement separately.
Being a tax resident doesn’t give you legal residency or citizenship. If you want to live in Uruguay, you apply for legal residency separately with Migración.
What changed in 2026: much of what you read online no longer applies
A law (Law 20,446) and a decree (Decree 188/026) changed the rules from 2026. Many websites, including some of the first results on Google, still show the old rules.
| What you still read | What applies if you arrive from 2026 |
|---|---|
| "Buy a USD 380,000 to 400,000 property, spend 60 days a year and pay no tax for 11 years" | Today that route requires property worth more than UI 3.5 million (about USD 576,000), more than 60 days a year and the other conditions. And it only makes you a tax resident: the tax holiday is separate. |
| "Uruguay has a golden visa" | No. Investing can make you a tax resident, but that doesn’t give you the right to live there or citizenship. |
| "You need to invest USD 2 million to become a tax resident" | No. That figure is the tax holiday’s property route (more than UI 12.5 million), and it comes on top of whatever made you a tax resident. |
| "Citizenship in 3 years" | 3 years only if your family is established in the country; otherwise 5. |
Is it for you?
Is Uruguay right for you? Four questions
Answer and we’ll tell you which Uruguay option fits your case, or whether another country suits you better. This is general guidance, not advice.
Your result
Answer the four questions
With your answers, we’ll tell you which Uruguay option fits your case, what complicates it and which other countries to compare it with.
Other countries
Uruguay versus other options
Uruguay is the least corrupt country in Latin America (17th of 182 in the 2025 Corruption Perceptions Index) and a full democracy according to The Economist (15th in 2024). It wins on institutions and quality of life for people who move. It loses on taxes for people who don’t live there and on cost of living.
| Country | Entry cost | When you could get a passport | Tax on income earned abroad | Time you must spend there |
|---|---|---|---|---|
| Uruguay | No investment; fee of about USD 92 | After 3 to 5 years living there | Since 2026, taxes more types of income earned abroad. With the tax holiday, some of it is treated as if you didn’t live there | For citizenship, no absences over 6 months in a row |
| Paraguay | USD 200,000 per applicant in an investment property (Investor Pass), or from USD 70,000 in a business with a plan and about 5 jobs | About 4 to 5 years: 3 of permanent residency, then a court process before the Supreme Court | Doesn’t tax income earned outside Paraguay | No minimum days for the tax residency certificate, but you need an active taxpayer number (RUC) and real ties |
| Panama | USD 300,000 property until October 15, 2026; USD 500,000 after that | 5 years, giving up your nationality unless your country has a reciprocity agreement with Panama | Only taxes income earned in Panama | One visit every 2 years |
Uruguay wins
If you want to live in a stable, well-run country with clear rules
Especially if you’re moving with your family and will spend most of the year there.
Paraguay or Panama
If you want a low-tax plan B without moving
Other investors compare what Uruguay’s tax holiday requires through property (more than UI 12.5 million, about USD 2 million) with these cheaper options.
How we help
First we check whether it suits you. Then we handle the process.
In Uruguay, the hard part is choosing the right route and getting things in order in your home country. So we start with an assessment, and we handle the local process with our partner law firm in Uruguay.
Step 1 · For everyone
Assessment: Uruguay or another country?
We review your goals, your home country and your assets, and compare Uruguay with other options, such as Paraguay and Panama. If Uruguay isn’t right for you, we’ll tell you.
- Which residency you need, and whether you need both.
- What happens to your taxes at home if you leave.
- What to invest and in what order, if you’re going for the tax holiday.
Step 2 · To live there or as a plan B
Legal residency
We handle the whole process, from the document checklist to your ID card.
- We pick the right track for you: MERCOSUR or general.
- We review every document before filing.
- We file with Migración and keep you updated.
Step 2 · If you also want the tax holiday
Tax residency and tax holiday
We set it up together with your tax advisor at home, so you don’t end up a tax resident in both countries.
- Tax residency certificate from the DGI.
- First how you become a tax resident, then how you qualify for the tax holiday, so the investments don’t overlap.
- Tax holiday application, with its conditions and deadlines.
Is it for you?
When it makes sense, and when it doesn’t
Uruguay isn’t for everyone. According to people who moved, those with the most regrets went only for taxes or without a work plan.
It makes sense if
- You want to live in a stable, well-run country with clear rules.
- You’re moving with your family and will spend more than half the year there.
- You want a backup residency without investing.
- You have significant wealth and want a stable base in South America.
Look elsewhere if
- You want to pay little tax without moving: compare Paraguay or Panama.
- You want a second passport quickly: citizenship requires living there 3 to 5 years first.
- You need to build a career there: the job market is small.
- You want a low-cost retirement by Latin American standards: Montevideo is the most expensive city in Latin America, according to Numbeo 2026.
- You want citizenship without living there: that route doesn’t exist.
Why AIM Global
We work with several countries. That’s why we can tell you no.
A Uruguayan firm will rarely recommend another country, and an advisor at home rarely knows Uruguay and Paraguay well. We work with several countries and cover Uruguay with a local firm.
Honest comparison
If another country suits you better, we’ll say so
We start from what you want, not from a product. Sometimes the answer is another country, or staying where you are.
Lawyers on the team
Our own legal team
AIM Global was founded by the partners of Apparcel Uriarte Abogados, a Chilean law firm recognized by The Legal 500 and Chambers.
Over 9 years
Hundreds of families
Over 350 citizenships handled, over 100 Golden Visas obtained and over 60 residencies handled, from Santiago, Lisbon and Buenos Aires.
FAQ
What people ask most
No. Uruguay doesn’t sell legal residency or citizenship. Investing in property or a company can make you a tax resident, but it doesn’t give you the right to live there. Legal residency is a separate application and requires no investment.
Yes. Legal residency is open to any nationality. If you’re not from a MERCOSUR member or associated country, you go through the general track: besides the documents, you show you can support yourself. In 2025 Migración granted, for example, 400 residencies to US citizens, 313 to Russians, 240 to Germans and 104 to Chinese citizens.
The government fee is about USD 92. On top of that come the apostilled criminal record certificate, the health card, translations if needed, and our fees.
It depends on your case. We’ll give you an estimate once we’ve reviewed your documents.
Not automatically. With property worth more than UI 3.5 million (about USD 576,000) and more than 60 days a year in the country, you can become a tax resident if you meet the other conditions. That doesn’t give you legal residency, which is a separate application with Migración, or the tax holiday, which has its own rules.
No. Tax residency means Uruguay taxes you as a resident. The tax holiday is an extra option for some new tax residents who also meet its own requirements.
No. You can also put at least UI 625,000 (about USD 103,000) a year into certain funds. And if you spend more than 183 days there every year, you can apply without investing.
It can. In departments without a coastline on the Río de la Plata or the Atlantic, the value the law recognizes for the property counts 50% higher toward the threshold. How much less you need depends on each property and the rules in force when you buy.
Yes, if it isn’t done right. A Uruguayan certificate doesn’t make your home country stop treating you as a tax resident: that depends on your home country’s law and, where one exists, the tax treaty between the two countries. US citizens are taxed by the US wherever they live. In Argentina, ARCA may treat you as still resident if you remain a company director or keep a partner, children, a car or a club membership there. In Brazil you must file the Saída Definitiva, and opening a company in Uruguay doesn’t change where you pay tax. That’s why we work with your tax advisor at home.
At BROU, Uruguay’s state bank, yes, with a time deposit of at least USD 5,000 for 181 days. In practice, private banks ask for residency. At all of them, what matters most is proving where your money comes from.
For citizenship, leaving for more than 6 months in a row resets the count. You can lose legal residency if you spend more than 3 years outside the country.
For South America, yes. Montevideo is the most expensive city in Latin America according to Numbeo 2026, about 30% more than São Paulo. People arriving from the US or Europe often see it the other way round.
It has solid institutions, but it isn’t "the safest country in the region". In 2025 there were 369 homicides, a rate of 10.3 per 100,000 people, and more than half were in Montevideo.
It depends on why. People who moved highlight the calm and the clear rules. Those with the most regrets went only for taxes or without a work plan. If you want to try it first, renting for a couple of months is a good first step.
It’s a 180-day permit, renewable once. It’s good for trying the country out, but on its own it doesn’t make you a tax resident.
Before choosing a country, compare with someone who works with several
Leave your email and we’ll write to you to review your goals, your home country and your assets. We’ll tell you whether Uruguay suits you or what suits you better. No commitment.
If you used the comparison above, your answers come with your email, so you don’t have to repeat them.
WhatsApp: +56 9 5836 0431
Important. This page is general information about legal residency and tax residency in Uruguay, under the rules in force on October 1, 2026 (Law 18,250, Law 19,254, Decree 148/007, Law 20,446 and Decree 188/026). It is not legal or tax advice. Thresholds are set in Indexed Units (UI) and must be checked on the date of each transaction; dollar figures use September 2026 values and change with inflation and the exchange rate. Each person’s situation depends on their investments, days in the country, home country, applicable treaties and the type of income they have. Decisions are made by the Dirección Nacional de Migración, the DGI and the Corte Electoral, and no one can guarantee an outcome or a timeline. AIM Global does not represent the government of Uruguay.
Official and technical sources (in Spanish)
- Permanent legal residency, gub.uy
- Permanent residency for MERCOSUR nationals, gub.uy
- Grounds for tax residency, DGI
- Decree 148/007, art. 5 bis, IMPO
- Law 18,250, art. 47, IMPO
- Constitution of Uruguay, IMPO
- Citizenship letter, gub.uy
- Law 20,446: changes for foreign investors, PPV
- Decree 188/026, tax holiday rules, Fernández Secco
- Corruption Perceptions Index 2025, JUTEP
- Law 20,446, art. 648, which adds art. 24 bis to Title 7 of the 2023 Consolidated Text
- Decree 188/026 of August 10, 2026: arts. 5 sexies and 5 septies of Decree 148/007
- Decree 95/026 of May 6, 2026, on foreign-source income
- DGI Resolution 1517/2026 of June 29, 2026