EU Recognizes Uruguay for Cooperative Tax Purposes

The European Union (EU) has recognized Uruguay as a cooperative tax jurisdiction for the purposes of the EU’s Code of Conduct on Business Taxation. The decision was made after an assessment of Uruguay’s tax regime and its commitment to international tax standards.

Uruguay is the first Latin American country to be recognized by the EU in this regard, which means that EU member states will not consider Uruguay as a non-cooperative tax jurisdiction. This recognition is expected to encourage investment in Uruguay and promote economic growth in the country.

Cooperative tax jurisdictions are those that are committed to transparency and the exchange of information with other countries. The EU’s Code of Conduct on Business Taxation aims to ensure that all member states comply with these principles.

Uruguay has been working to improve its tax regime and its international tax cooperation in recent years. The country has signed several tax information exchange agreements with other countries and has been participating in the Base Erosion and Profit Shifting (BEPS) project of the Organisation for Economic Cooperation and Development (OECD).

The recognition by the EU is a significant step for Uruguay’s efforts to attract foreign investment and promote economic development. It is also a testament to the country’s commitment to international tax standards and cooperation.

The recognition is expected to have a positive impact on Uruguay’s economy, as it will provide investors with greater certainty and confidence in the country’s tax regime. It will also help to further strengthen Uruguay’s position as a regional leader in tax cooperation and transparency.

Overall, the recognition by the EU is a positive development for Uruguay, and it is hoped that it will lead to increased investment and economic growth in the country.