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Paraguay
Latin America
Lucky Nomads World Index
67.57 / 100
Global rank
#84
Corporate tax
10%
Personal tax
10%
Lucky Nomads Proprietary Indices
22 scoring dimensions scored independently using a deterministic methodology built on primary sources and structured analytical inference.
- SafetyShield Index5.8 / 10
- Affordability Index7.9 / 10
- Entry Ease Index6.2 / 10
- Tax Freedom Index9.0 / 10
- WiFi Index7.0 / 10
- Admin Ease Index5.5 / 10
- Healthcare Index6.9 / 10
- City Comfort Index7.0 / 10
- WeatherComfort Index6.7 / 10
- Banking Index6.3 / 10
- GeoStability Index7.0 / 10
- Justice & Order Index5.3 / 10
- Quality of Life Index7.1 / 10
- Open Society Index5.5 / 10
- Flight Index2.7 / 10
- Environmental Quality Index7.5 / 10
- English Index4.1 / 10
- Wealth Protection Index7.8 / 10
- AI Access Index5.6 / 10
- Economic Openness Index7.8 / 10
- Market Depth Index5.7 / 10
- ClimateShield Index7.0 / 10
Country snapshot
- Capital
- Asunción
- Population (approx.)
- 7,400,000
- Area (km²)
- 406,752 km²
- Currency code (ISO 4217)
- PYG
- Currency name
- Paraguayan guaraní
- Main airport IATA code
- ASU
- Airport name
- Silvio Pettirossi International Airport
General facts
- Minimum monthly cost
- From $960/month
- Main languages
- Spanish, Guarani
- Jurisdiction type
- Country
- Region
- Latin America
- Web TLD
- .py
- Phone calling code
- +595
Web TLD and phone codes are general references and can differ for territories or special numbering plans.
Tax system
- Marginal CIT (corporate income tax)
- 10%LowTerritorial
- Marginal PIT (personal income tax)
- 10%LowTerritorial
Corporate taxation basis: Territorial. The country primarily taxes profits from domestic-source operations, with defined statutory exceptions. Foreign business profits are generally outside the base, subject to anti-abuse rules.
Strict territoriality under Article 47 Ley 6380/2019. Only Paraguayan-source profits taxed. Foreign-source profits exempt unconditionally with no CFC rules and no need for participation exemption.
Flat 10 percent IRE since Ley 6380/2019 (entry into force 2020), replacing the legacy IRACIS at 25 percent. Sectoral concessionary regimes apply: 1 percent Tributo Único Maquila on value added under Ley 7547/2025, 0.5 percent free zone tax under Ley 523/95, and IDU exemption up to 10 years for projects above USD 13 million under Ley 7548/2025.
Personal income tax basis. Territorial. The country taxes income arising in or derived from its territory. Foreign-source income is generally exempt, subject to source-based rules that may vary by income type.
Pure territorial system under Article 47 Ley 6380/2019. Foreign-source income (employment, business, dividends, interest, capital gains, pensions, rentals) fully exempt without remittance trigger or subject-to-tax test. Tax residence under Article 6 IRP from 120 days of presence or intent test, independent of immigration status.
Progressive 8 to 10 percent on Paraguayan-source income. The 10 percent rate triggers above 150 minimum monthly wages (around USD 60,000 annual at May 2026 rates). Capital gains on local real estate or PYG-listed securities taxed in IRP. No social security on private foreign pensions.
Tax percentages here are editorial reference figures for comparison, not individualized tax advice.
Special tax regimes
For companies
Régimen de Maquila
AvailableSingle 1 percent tax (Tributo Único Maquila) on the value added in Paraguayan territory, or on the invoice value billed on behalf of the foreign…
Nuevo Régimen de Incentivos Fiscales para la Inversión Nacional y Extranjera
AvailableInvestment incentive package replacing the legacy Ley 60/90.
Régimen de Zonas Francas
AvailableSingle 0.5 percent Impuesto de Zona Franca on gross revenues from sales to third countries, replacing IRE (10 percent) and other national,…
For individuals
Territorial Tax System (Sistema de Renta Territorial)
AvailableDefault territorial taxation regime under Ley 6380/2019.
You either qualify for Paraguay's special tax regimes, or you don't. GeoCompass determines your eligibility, highlights the applicable conditions, and helps estimate your potential tax exposure.
Check my eligibilityVisa and mobility
Your access
Visa need and length of stay for Paraguay. Saved on your device.
Overview
- Citizenship by investment
Not currently available
- Residence by investment
Available
- Remote work visa (digital nomad visa)
Not currently available
Programmes
Paraguay lists several residency and mobility routes across residence by investment, work (self sponsored), and retirement routes. Lucky Nomads tracks these programmes as editorial reference points. Thresholds, documents, and personal eligibility are evaluated in GeoCompass against your exact profile.
8 programmes listed · 8 are marked available in our editorial review
Residence by investment
5 programmesCapital, property, fund, or declared investment routes that can lead to longer-term residence.
- Available
Investor Pass: Productive Investment (Inversión Productiva)
- Available
Investor Pass: Real Estate (Sector Inmobiliario)
- Available
Investor Pass: Stock Market (Mercado de Capitales)
- Available
Investor Pass: Tourism Projects (Proyectos Turísticos)
- Available
SUACE Audiovisual / Film Investment
Work (self sponsored)
2 programmesSelf-sponsored work or freelance routes where you qualify without a local employer.
- Available
General Temporary Residency
- Available
Mercosur Temporary Residency
Retirement routes
1 programmeRetirement-age or pension-linked residence options.
- Available
Retiree (Pensionado, Jubilado o Rentista)
Not all residency routes are accessible. Some require minimum income, investment thresholds, local substance, or strict eligibility conditions. GeoCompass evaluates which options you can actually secure in Paraguay.
Evaluate my residency optionsVisa and programme labels reflect editorial research, not individualized legal advice. Thresholds, documents, and personal eligibility are evaluated in GeoCompass. Always confirm rules with official government sources before you plan a move.
Dimensions breakdown
Strongest dimensions
- Tax Freedom Index9.0 / 10Exceptional tax freedom
- Affordability Index7.9 / 10Competitive cost of living
- Wealth Protection Index7.8 / 10Strong wealth protection index
Weakest dimensions
- Flight Index2.7 / 10
- English Index4.1 / 10
Published ranks by index
One row per leaderboard we publish (the composite index plus each proprietary dimension). A rank appears only when this country is currently in the published top 10 for that list. Open a row to see the full ranking. Hover an index name for the same short definition as elsewhere on the site.
This jurisdiction is not in the published top 10 on any of these lists right now.
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Founder, Lucky Nomads · Wealth manager
Researched from official sources, leading global indices and Lucky Nomads' own scoring.
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