On 3 November the Executive Branch enacted Law No. 19,996 on the Accountability Report and Budget Execution for the 2020 financial year. Its article 330 authorises the permanent import into Uruguay's customs territory of classic vehicles fifty (50) years old or older, exempt from all customs duties.
The import of used vehicles is prohibited in Uruguay. However, Uruguayans who have lived abroad for more than two years and return with the intention of residing permanently, under Law No. 18,250, may bring in one vehicle, on a single occasion, purchased more than one year before their return. The vehicle may not be sold for 2 years from its import.
To encourage foreigners to settle in the country, Law No. 19,924 allows legal residents who obtained residency between 1 January 2020 and 31 March 2021 to bring in, tax-free and on a single occasion, a vehicle purchased at least one year before entry, under the “return” scheme. This allows those who settle in Uruguay to register the cars they bought abroad without paying taxes (see article, in Spanish).
As regards “classic cars”, on 18 December 2020 the National Budget Law No. 19,924 amended Law No. 17,887 to allow the import of classic or sports vehicles more than thirty (30) years old for exhibition or racing.
More recently, article 330 of Law No. 19,996 allows the permanent import of classic vehicles fifty (50) years old or older, exempt from all customs duties:
Article 330. “The permanent import into the national customs territory of classic vehicles fifty years old or older is authorised, exempt from all customs or other duties payable on import, including the minimum surcharge. Under no circumstances may they be sold within the national territory. Failure to comply with these conditions shall constitute the customs offence set out in article 208 of Law No. 19,276 of 19 September 2014 (Customs Code of the Oriental Republic of Uruguay). The Executive Branch shall issue regulations for this provision within one hundred and eighty days.”
As a result, any classic vehicle manufactured before 1971 may be imported tax-free, but may not subsequently be sold in Uruguay. The Executive Branch will issue the implementing regulations.
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