We report two cases of neonatal ascites. The first case is a 24 day old male referred for abdominal distention and edema. Peritoneal tap removed a transudative fluid. Ultrasonographic evaluation revealed obstructive posterior urethral valves. Bladder drainage led to resolution of the urinary ascites and renal function normalization. Long term follow-up after endoscopic resection of valves was good. The second case is a male infant who presented at birth with abdominal distention. Radiology revealed an urinoma and a left side hydronephrosis secondary to ureteropyelic junction syndrome which underwent a successful surgical treatment. Urinary ascites is a rare entity which calls for immediate diagnosis and management to preserve renal function.