Uruguay Introduces Investment Incentive for Building Construction and Urbanization

The Uruguay government has reportedly introduced a new incentive regime for investments in building construction and urbanization in light of COVID-19. The incentive regime provides:

• a corporate tax exemption of 15% to 40% depending on the size of the investment project;
• a net wealth tax exemption on the constructed property for a period of 8 years if in Montevideo and 10 years in other areas; and
• a VAT credit and import tax exemption on equipment, machines, materials, and services for the c…