Uruguay's Parliament on 22 September 2026 approved the Accountability Bill (Ley de Rendición de Cuentas), introducing tax measures in environmental, agricultural, housing and transportation matters.

Key developments under the Accountability Bill are outlined below.

Deposit Return and Refund Schemes: Deposits and reimbursements made within authorized schemes for single-use beverage containers will be exempt from value-added tax (VAT).

Multiparty irrigation reservoirs: Income derived from leasing rural land occupied by multiparty irrigation reservoirs and artificial lakes will be exempt from Corporate Income Tax (IRAE), Personal Income Tax (IRPF) and Nonresident Income Tax (IRNR).

Housing cooperatives: Eligible housing cooperatives may recover VAT included in the cost of goods and services directly incorporated into construction costs. The VAT-recovery mechanism will apply to projects transferred to cooperative members from 1 January 2027 and will be regulated by the Executive Branch.

Agricultural associations and agrarian companies: The transfer of fiscal benefits provided for in Article 15 of Law No. 19,553 (relating to agricultural irrigation) to members or partners of agricultural associations and agrarian companies will be expressly treated as nontaxable income.

Special donations regime: The list of entities eligible to receive donations under the special donations regime has been expanded.

Public transport electrification: The Executive Branch has been authorized to modify the limitations applicable to recoverable VAT credits for collective passenger transport operators based on objective criteria, including the degree of fleet electrification.

Although the Accountability Bill has been approved by Parliament, it has not, as of the date of this Alert, been published in the Official Gazette. It will enter into force on 1 January 2027.

Implications

Businesses and organizations operating in the affected sectors should assess whether they qualify for the new exemptions, VAT-recovery mechanisms or other incentives and prepare for the related compliance requirements ahead of the 1 January 2027 effective date. Taxpayers should also monitor implementing regulations, particularly for housing cooperatives and public transport operators, as these rules will determine the practical scope and application of the measures.