Uruguay Tax Agency Posts Consultation Clarifying VAT Treatment of Hotel Lodging Services Provided to Nonresidents

The Uruguayan General Directorate of Taxation Sept. 11 posted online Consultation No. 6705, clarifying the VAT treatment of hotel lodging services provided to nonresidents. The taxpayer, a civil association in the hotel and restaurant sector, inquired regarding when the provision of lodging services to nonresidents is considered an export of services for VAT purposes. The consultation clarifies that: 1) hotel lodging services provided to nonresidents are considered exports of services, both during high and low season; 2) nonresidents include those who prove this status by presenting identification documentation, a photocopy of which the hotel providing the service must retain; and ...