Yellow-browed Toucanet is resident in a small region on the east slope of the Andes in northern Peru. The northernmost known locality is in southern Amazonas, east of Leimeibamba, and it also is reported from a site not far away in northwestern San Martín. Farther south, it is reported from Río Abiseo National Park in west central San Martín (Collar et al. 1992) and in the Cumpang/Utcubamba area in northeastern La Libertad (Carriker 1933, Schulenberg and Parker 1997). Yellow-browed Toucanet presumably occurs more or less continuously between all of these localities, although access to this region, which is roadless, is very difficult to reach, no doubt accounting for the paucity of known localities. The northern and southern distributional limits are not documented but, to date Yellow-browed Toucanet is not reported as far north as the well worked Abra Patricia area (Amazonas/San Martín border), nor in the well known Cordillera Carpish area in Huánuco.
The elevational range of Yellow-browed Toucanet is 2000-2600 m (Schulenberg et al. 2010).