Skip to content

Country vs country

Paraguay vs Cyprus

Side by side for a genuine tax resident, with €150,000 a year in dividends or foreign income.

ParaguayCyprus
Personal income0% abroad0% div.
Company tax10%15%
Minimum days18360
Cost of residencyCheapMedium
Tax on €150,000 a year€0€3,975
Monthly cost for one person, rent included€1,125€1,950
In the EUNoYes
Spanish blacklistNoNo
Crypto gainsTerritorial: gains on foreign exchanges treated as foreign-source and outside IRP. No specific crypto law; local-source capital gains taxed 8%.Since 1 Jan 2026 gains on disposal or exchange of crypto assets taxed at flat 8%; losses offset only within same year.
PensionTerritorial system: only Paraguayan-source income is taxed, so a foreign pension is not taxed.Option of 5% flat on foreign pension above EUR 5,000 (from 2026), plus 2.65% GESY. About 4.4% tax plus GESY.

Who wins

  • Less tax: Paraguay
  • Cheaper to live in: Paraguay
  • Fewer days required: Cyprus
  • Easier to settle in: Tie

It depends on your case: your nationality, the country you leave and how you earn your money change the answer.

Ask which one suits me →Compare