Answer
Uruguay’s monotributo is a regime for small independent activity, broadly similar to self-employment. A preferential regime is also mentioned for sole proprietors, under which no income tax is due when monthly income is roughly up to USD 2,300–2,400.
But such a regime cannot be considered a universal solution for any business. The type of activity, turnover, premises, number of participants, customers and compliance with conditions are important. If the actual work goes beyond the regime, another form may be required.
Monotributo is best considered an option for limited small-scale activity, rather than an automatic choice for a consultant, IT specialist, shop, or café. Before starting, understand the regime’s annual cost, mandatory contributions, and the consequences of higher income.