Afip Going Too Far.

[Mano Negra]

Uruguay has long ago ceased to be the "Switzerland of South America", and in practice has rolled ack virtually all of its bank secrecy rules. The Mujica government has been particularly eager to "punish" the greedy bloodsucking capitalists hoarding the money they stole from the toiling masses. To this end, an information sharing agreement with Argentina came into effect at the begining of the year by which Uruguay and Argentina share information on bank accounts, securities and real estate holdings held by Argentinianians in Uruguay. The smart money, both Uruguayan and Argentinian has long since moved their wealth much further offshore from Uruguay. Therefore the major world private banks here have al downgraded their presence here and only keep representative offices in Uruguay to meet with their clients and pass along banking instructions, but do not do any real banking here at all. Also remember that Pepe Mujica only holds Comandante Chaves in higher esteem then he does Cristina, so do not expect him or the Uruguayan government to seriously stand in the way of any AFIP fishing expeditions.

All problems arising from this are very easy to avoid if you sell your Uruguayan company to a New Zealand trust, where there is still no obligation to disclose the beneficial owner. That is what they are all doing at the moment,

 

[artigas]

There was a guy here who had a very successful business doing just that. However, although the practice is entirely legal, even under Uruguayan law, the Central Bank eventually hounded him out of business and out of the country. If you want the rule of law in South America, you can try Chile perhaps, otherwise plan to play by local rules, however arbitrary or illogical they may be.

 

[John.St]

"For those with DNI's wanting to open a bank account in Uruguay you might want to think twice."

The first thought should be whether you have a passport from another country to use when you open an account in Uruguay.

As artigas correctly writes "an information sharing agreement with Argentina came into effect at the begining of the year by which Uruguay and Argentina share information on bank accounts, securities and real estate holdings held by Argentinianians in Uruguay", which was the subject of discussion on baexpats some 5 or 6 months ago :-(

 

[nlaruccia]

The owner of my apartment that works in the Banco Central warmed me about the new "sharing" agreement between Argentina and Uruguay. I also read an article, I think it was in La Nacion, that said it applies to Argentine organizations and Argentine citizens. I assume that doesn't apply to permanent residents. You could open one with a U.S. and European passport, but who knows if they require a DNI if your residence is in Argentina and you have to provide proof of your address.

 

[artigas]

You would be out of luck with a USA passport, due to FACTA, no bank in Uruguay ( with the possible exception of BROU ) wants anything to due with norteamericanos, in fact they are even closing the bank accounts of American citizens living here with Perminent Residency. You will probably have better luck with an European passport, although there are now several "information sharing" agreements with countries such as Spain in the works as well.

 

[nlaruccia]

I believe you, but I'm thinking of opening up an account not to hide money I make in the US. I pay taxes on it. It's not in negro. Just don't want it revealed in Argentina

 

[nlaruccia]

I was looking into BROU, but you have to go to Colonia just for them to check if the paperwork required is sufficient enough to open an account. They wont accept scans emailed to them. After the first $600 trip with Buquebus or Colonia Express you have to return in 3 days to sign the forms and agreement. What a headache and a lot of trouble to go through.

 

[French jurist]

I was looking into BROU, but you have to go to Colonia just for them to check if the paperwork required is sufficient enough to open an account. They wont accept scans emailed to them. After the first $600 trip with Buquebus or Colonia Express you have to return in 3 days to sign the forms and agreement. What a headache and a lot of trouble to go through.

You can open an account in 45 minutes at BROU:
-Arrive at 12:30 and wait for the bank to open at 1pm
-Once the bank opens, people in front of you will go to take a number on the right & on the left -> take a number on the left
-Once the clerk calls you, give the proper documentation + photocopies: 2 valid IDs, one proof of where you live (either a public service invoice in your name, or eventually an expensas invoice in your name = a rental contract is not valid, even if stamped by an escribano publico), proofs of your monthly income (Purchase orders in your name, etc.). You'll also need a document by an official accountant or an escribano publico stating you make XXXX$ per month (better inflate a bit the figures because you'll need to stay below this amount every month, otherwise they'll ask you why you make suddenly more). This last document can even be given later on, you can even give it to the offices of BROU in Buenos Aires.
-Minimum deposit is 200 USD. They give you immediately a Maestro card.
-When I was there, I asked the clerk if Americans were treated the same way as Europeans (due to IRS rules, etc.) => strictly no difference

 

[nlaruccia]

I went to the office in Buenos Aires twice with the documentation and they refused to look at it an said I have to ask at the branch in Uruguay. I have a letter from my CPA in the States, and it's signed but not stamped. They don't stamp letters in the States, and BROU told me it didn't need to be notarized. Hopefully they'll accept it or I'll be really upset at having made the trip to get rejected. No purchase orders from the states, just monthly bank statements showing deposits for rents from real estate in the States. As far as proof of domicilio I can bring one emitted by the police, or a bill for patente for my taxis sent to my house. No electricity, gas, or ABL bills are in my name. I figured I would open the account with my US and Italian passport and only show my DNI if they ask. Do you have to deposit the $200 US at the moment? Or can you wire it from the States? Did you go the branch on Gral Flores 151 in Colonia?

 

[Rich One]

When the farmers sell the soy beans in their silos they get a dollar rate close to $3 pesos...! after retentions... and other deductions as gross return...!!