On 1 October 2026, the DGI issued the updated regulatory framework for the reduced Specific Internal Tax (IMESI) on gasoline sales in designated border zones. This regime, originally established by Law N° 18.834 and regulated by Decree 150/015, seeks to mitigate the competitive disadvantage faced by Uruguayan fuel stations near the borders with Argentina and Brazil, where significant price differentials historically drove cross-border smuggling and revenue loss. The reduction applies exclusively to premium and super gasoline (naftas) sold at service stations located within a 20-kilometer radius of the international land borders, as defined by the National Directorate of Topography. The tax credit mechanism allows station operators to deduct a fixed amount per liter from their monthly IMESI liability, effectively lowering the consumer pump price to narrow the gap with neighboring countries. The 2026 update revises the per-liter credit amounts to reflect current international price parity calculations and expands the list of authorized stations based on the latest geospatial survey. Operators must maintain segregated inventory records and submit monthly sworn declarations detailing volumes sold under the regime. The DGI warns that misuse—such as selling subsidized fuel outside the zone or to non-eligible vehicles (e.g., freight transport)—triggers severe penalties including tax fraud charges and revocation of the station’s IMESI registration.
Key Takeaways
- Geographically Targeted Tax Relief: The IMESI credit applies only to gasoline sold at stations within 20 km of land borders, directly addressing cross-border price arbitrage and protecting domestic fuel retail viability.
- Updated Credit Rates and Station Registry: The 2026 revision adjusts the per-liter credit values based on updated parity studies and incorporates newly qualified stations, requiring operators to verify their inclusion in the official DGI registry before applying the reduction.
- Stringent Anti-Abuse Controls: Mandatory segregated accounting, monthly sworn declarations, and harsh penalties for diversion ensure the fiscal cost of the subsidy is contained and the benefit reaches intended local consumers.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Official Announcement