Uruguay Tax Agency Posts Consultation Clarifying Tax Treatment of Income From Search Engine Optimization Activity

The Uruguayan General Directorate of Taxation Nov. 14 posted online Consultation No. 6739, clarifying the tax treatment of income from search engine optimization (SEO) blogging activity. The taxpayer created blog articles for SEO, using computer software and no physical business premises. The taxpayer inquired as to whether the income was subject to individual income tax (IRPF) or corporate income tax (IRAE), and whether the business was eligible for the minimum VAT regime, provided it didn’t exceed the income threshold. The clarification states that: 1) the activity qualified as business income and was, therefore, subject to IRAE; and 2) the taxpayer ...