Vukotic was born in Rome, to a Montenegrin comedy playwright father and an Italian pianist/composer mother.

A brilliant character actress, Vukotic became well known for her role of Pina Fantozzi in the Fantozzi series of comedy films (winning a Nastro d'Argento for Best Supporting Actress for her role in Fantozzi in paradiso) and, later in her life, for the role of Grandma Enrica in the TV series Un medico in famiglia.

On stage, she became one of Rina Morelli's favourite actresses and worked in other prestigious theatrical productions with directors like Franco Zeffirelli, Giorgio Strehler, Paolo Poli and Jean Cocteau.

She had a recurring role on the French television series Une famille formidable.

In 1987 she played in the German series Anna, which was a big success in the German-speaking countries.