Country vs country
Paraguay vs
Cyprus
Side by side for a genuine tax resident, with €150,000 a year in dividends or foreign income.
| Paraguay | Cyprus | |
|---|---|---|
| Personal income | 0% abroad | 0% div. |
| Company tax | 10% | 15% |
| Minimum days | 183 | 60 |
| Cost of residency | Cheap | Medium |
| Tax on €150,000 a year | €0 | €3,975 |
| Monthly cost for one person, rent included | €1,125 | €1,950 |
| In the EU | No | Yes |
| Spanish blacklist | No | No |
| Crypto gains | Territorial: 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. |
| Pension | Territorial 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.