For a resident freelancer personally working from Uruguay, there is no single “freelancer tax”. DGI treats independent personal services as generally subject to Personal Services VAT and IRPF unless IRAE is elected or mandatory.
IRPF is not a flat percentage of every invoice
The calculation uses income excluding VAT, a deemed 30% expense deduction, progressive brackets, permitted deductions and withholdings. DGI also states that personal-services income above 4,000,000 UI triggers mandatory IRAE for the following fiscal year.
Foreign clients can change VAT, not automatically every tax
A qualifying service export may be outside VAT, but a foreign customer alone is not sufficient. Income tax and social security have their own tests.
Keep DGI and BPS separate
BPS social-security and healthcare contributions are not IRPF. Registration, activity and family healthcare status can all matter.
Records to keep
- Gross invoice amount.
- Customer, country and service type.
- CFE and currency.
- Withholdings.
- Payment fees separately from revenue.
- DGI/BPS/Fonasa payments.
- Evidence supporting any service-export treatment.
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