Decree No. 21/026: Regulation of the Agricultural Goods Disposal Tax (IMEBA)
Decree No. 21/026 comprehensively regulates Uruguay's Agricultural Goods Disposal Tax (IMEBA), established under Title 9 of the 2023 Consolidated Tax Code. The regulation defines taxable events, taxpayers and withholding agents, taxable amounts, product-specific tax rates, advances on imports, withholding procedures, tax assessment and payment, treatment of exports and the crediting of IMEBA against the Corporate Income Tax (IRAE). The Decree establishes differentiated rates for wool and hides, cattle, sheep and pigs, cereals and oilseeds, milk, poultry and apiculture products, flowers and seeds, horticultural, fruit and citrus products, forestry products, sugarcane and other agricultural goods. It also establishes a tax credit for agricultural holdings subject to IMEBA that invest in infrastructure facilitating access to water, including farm ponds, wells and boreholes, windmills, tanks, pumps, irrigation or livestock-watering dams, electrical infrastructure for irrigation and watering systems, water pipelines and drinking troughs. The tax credit is equivalent to ten percent of specified investments excluding VAT and may be supplemented by VAT credits under the conditions established by the regulation. The benefit is implemented through tax-credit certificates issued by the General Tax Directorate, with participation by the Ministry of Livestock, Agriculture and Fisheries. The Decree also regulates agricultural investment incentives and repeals Decrees No. 376/986, No. 294/011 and No. 14/015.